Clarification on dispatch of notice under section 62(2) of Companies Act, 2013 by listed companies for rights issues opening upto 31st December, 2020. - Companies Law - 27/2020

General Circular No. 27/2020 F. No. 2/4/2020-CL-V Government of India Ministry of Corporate Affairs 5th Floor, 'A' Wing, Shastri Bhawan, Dr. R. P. Road, New Delhi Dated: 3rd August, 2020 To All Regional Directors, All Registrar of Companies, All Stakeholders. Subject: Clarification on dispatch of notice under section 62(2) of Companies Act, 2013 by listed companies for rights issues opening upto 31 st December, 2020. Sir/ Madam, Reference is drawn to this Ministry's General Circular Number 21/2020 dated 11 th May, 2020 regarding clarification on dispatch of notice under section 62(2) of Companies Act, 2013 by listed companies for rights issue opening upto 31st July, 2020. Representations have been received for extending the validity of such clarification. The Circular (Number SEB1/HO/CFD/DIL1/CIR/P/2020/ 136) issued by SEBI on 24 th July, 2020 has also been considered. In view of this it has been decided that clarification given under para 2 of General Circular 21/2020 dated 11 th May, 2020, would continue to be applicable for rights issues, in case of listed companies, opening upto 31 st December, 2020. Accordingly, in case of listed companies, which comply with relevant circulars issued by SEBI, inability to dispatch the relevant notice to shareholders through registered post or speed post or courier would not be viewed as violation of section 62(2) of the Act for rights issues opening upto 31st December, 2020. Other requirements provided in the said General Circular remain unchanged. 2. This issues with the approval of the competent authority. Yours faithfully, (KMS Narayanan) Assistant Director (Policy)