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If allotment of Shares done at par then mandatory to obtain report of registered valuer in respect of valuation of the consideration for preferential allotment.

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Posted By: Cs anuj solanki 9 year(s) ago

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    Anil

Valuation of shares is mandatory and it is also mandatory to allot the shares at a price determined by valuation.

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    SSK

In terms of teh rules, the price of shares or other securities to be issued on preferential basis shall not be less than the price determined on the basis of valuation report of a registered valuer. That means the shares can not be issued below this price.

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