Reliance Retail to reduce equity share capital, cancelling non-promoter shares
Reliance Retail Limited has announced a proposal to reduce its equity share capital, specifically the shares held by shareholders other than its Promoter and holding company, Reliance Retail Ventures Limited.
This decision was approved by the Company’s Board of Directors during their meeting on July 4, 2023.
The capital reduction will be carried out in accordance with Section 66 of the Companies Act, 2013.
However, it is subject to approval by the Company’s members through a special resolution and obtaining the necessary sanction and confirmation from the National Company Law Tribunal, Mumbai bench. Shareholders will receive a notice regarding this matter.
As part of the capital reduction process, the shareholders affected by the reduction will have their shares cancelled and extinguished. In return, a consideration of Rs. 1,362 per share will be paid to these shareholders.
The valuation for this consideration has been obtained from two independent registered valuers who are recognized in the industry.
The Company aims to ensure a fair and reasonable payment to the affected shareholders based on the valuation provided by these experts.
It is important for members of the public who are holding and/or trading in the equity shares of Reliance Retail Limited to be aware of this capital reduction proposal.
The Company will provide further updates and information to its shareholders through the official notice that will be sent out.
The reduction of equity share capital is a significant step for the Company, and it aims to obtain the necessary approvals and proceed with the capital reduction process in compliance with the applicable laws and regulations.
Bylivemint
