alleryStart learning →If the articles do not authorise a buy-back, the company must first
AObtain an NCLT order
BPass a board resolution
CObtain SEBI approval
DAlter its articles first
Answer & Solution
Correct answer: D. Alter its articles first
The articles must permit buy-back, so the company alters them first when they are silent.
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Related questions
Under Section 68, specified securities includeAfter a buy-back, a remaining investor's proportionate ownershipThe details of the transfer to capital redemption reserve are to be disclosed in the40,000 shares of face value Rs 5 are bought back at Rs 9. Equity share capital is debited Which can absorb the premium paid on a buy-back?Shares that a company has bought back areWithin six months after a buy-back, a company may still make aThe register of bought back shares is kept at the company's