Section 104, The Companies Act, 2009

The following provisions shall apply in respect of anapplication for an allotment of issued shares of a company:– (a) in the case of a private company or a public company where the issue of shares is not public, there shall be submitted to the company a written application signed by the person wishing to purchase shares and indicating the number of shares required; (b) in the case of a public company, subject to any conditions imposed by the Commission where the issue of shares is public, there shall Issue of redeemable preference Validation of improperly issued shares. Authority to allot shares. Method of application and allotment. 72 73 be returned to the company a form of application as prescribed in the company’s articles, duly completed and signed by the person wishing to purchase shares; (c) upon the receipt of an application, a company shall, where it wholly or partially accepts the application, make an allotment to the applicant and within 21 days after the allotment notify the applicant of the fact of the allotment and the number of shares allotted to him; (d) the company shall, not later than 7 days after receiving the application in writing notify applicants who are unsuccessful and within 14 days after the end of the allotments refund the money of every unsuccessful applicant; (e) an applicant under this section may within 10 days before the closure of any public offer, withdraw his application by written notice to the company.