Amendment in the Companies (Further Issue of Shares) Regulations, 2020

GOVERNMENT OF PAKISTAN
SECURITIES AND EXCHANGE COMMISSION OF PAKISTAN -.-.-.- Islamabad, the 10th November, 2021 NOTIFICATION S. R. O. 1461 (I)/2021.- In exercise of the powers conferred under section 512 read with sections 58, 82, 83 and 460 of the Companies Act, 2017 (XIX of 2017), the Securities and Exchange Commission of Pakistan is pleased to make the following amendments in the Companies (Further Issue of Shares) Regulations, 2020, the same having been previously published in the official Gazette vide Notification No. S.R.O. 310(I)/2021 dated March 18, 2021, as required under proviso to sub-section (1) of the said section 512, namely:- AMENDMENTS In the aforesaid Regulations, - (1) in regulation 6, - (i) existing regulation shall be numbered as sub-regulation (1); (ii) clause (iv) shall be omitted; (iii) in clause (v), for the words “preference shareholders and the Commission”, the words “holders of such shares carrying differential rights” shall be substituted; (iv) after sub-regulation (1), re-numbered as aforesaid, the following sub-regulation (2) shall be inserted, namely: — “(2) Notwithstanding the requirements of sub-regulation (1), a company may convert its ordinary shares into preference shares or convert its shares (of a particular kind) from one class to another, on the basis of a special resolution:
Provided that the rights of holders of such converted shares are provided for in the articles of association of a company:
Provided further that a share that is not a redeemable preference share when issued cannot afterwards be converted into redeemable preference share.” And (2) after Chapter VI, the following new Chapter VIA and regulations shall be inserted, namely: -