as far as your query is concerned that Is section 42 applicable for Rights Issue of shares under
section 62(1)(a)? Are PAS 4 (Letter of Offer) and PAS 5
(Record of Offer) applicable for Rights Issue of shares?
Let me informed that As per section 23 of the Companies Act, 2013, a public company
can issue securities:-
— To public through prospectus;
— Through private placement by complying with the provisions
of part II of chapter III; or
— Through a rights issue or bonus issue.
In case of a private company it can issue securities by any
method as mentioned above other than to public through
Section 42 relates to private placement only and there is no
need to comply with the provisions of section 42 in case of
rights issue and accordingly PAS-4 and PAS-5 shall not be
applicable in case of rights issue.
Hope answer was helpful to you
Arjun Pratap Singh