law: Companies Act, 2013 
  236.
  
    Purchase
  
  of minority shareholding.
  1.      In the event of an
  
  acquirer, or a person acting in concert with such acquirer, becoming registered
  
  holder of ninety per cent. or more of the issued equity share capital of a
  
  company, or in the event of any person or group of persons becoming ninety per
  
  cent. majority or holding ninety per cent. of the issued equity share capital
  
  of a company, by virtue of an amalgamation, share exchange, conversion of
  
  securities or for any other reason, such acquirer, person or group of persons,
  
  as the case may be, shall notify the company of their intention to buy the
  
  remaining equity shares.
  2.      The acquirer, person
  
  or group of persons under sub-section (1 ) shall offer to the minority
  
  shareholders of the company for buying the equity shares held by such
  
  shareholders at a price determined on the basis of valuation by a registered
  
  valuer in accordance with such rules as may be prescribed.
  3.      Without prejudice to
  
  the provisions of sub-sections (1 ) and (2 ), the minority
  
  shareholders of the company may offer to the majority shareholders to purchase
  
  the minority equity shareholding of the company at the price determined in
  
  accordance with such rules as may be prescribed under sub-section (2 ).
  4.      The majority
  
  shareholders shall deposit an amount equal to the value of shares to be
  
  acquired by them under sub-section (2 ) or sub-section (3 ), as the
  
  case may be, in a separate bank account to be operated by the transferor
  
  company for at least one year for payment to the minority shareholders and such
  
  amount shall be disbursed to the entitled shareholders within sixty days:
  Provided
  
  that such disbursement shall continue to be made to the entitled shareholders
  
  for a period of one year, who for any reason had not been made disbursement
  
  within the said period of sixty days or if the disbursement have been made
  
  within the aforesaid period of sixty days, fail to receive or claim payment
  
  arising out of such disbursement.
  1.     
  2.     
  3.     
  4.     
  5.      In the event of a
  
  purchase under this section, the transferor company shall act as a transfer
  
  agent for receiving and paying the price to the minority shareholders and for
  
  taking delivery of the shares and delivering such shares to the majority, as
  
  the case may be.
  6.      In the absence of a
  
  physical delivery of shares by the shareholders within the time specified by
  
  the company, the share certificates shall be deemed to be cancelled, and the
  
  transferor company shall be authorised to issue shares in lieu of the cancelled
  
  shares and complete the transfer in accordance with law and make payment of the
  
  price out of deposit made under sub-section (4 ) by the majority in
  
  advance to the minority by dispatch of such payment.
  7.      In the event of a
  
  majority shareholder or shareholders requiring a full purchase and making
  
  payment of price by deposit with the company for any shareholder or
  
  shareholders who have died or ceased to exist, or whose heirs, successors,
  
  administrators or assignees have not been brought on record by transmission,
  
  the right of such shareholders to make an offer for sale of minority equity
  
  shareholding shall continue and be available for a period of three years from
  
  the date of majority acquisition or majority shareholding.
  8.      Where the shares of
  
  minority shareholders have been acquired in pursuance of this section and as on
  
  or prior to the date of transfer following such acquisition, the shareholders
  
  holding seventy-five per cent. or more minority equity shareholding negotiate
  
  or reach an understanding on a higher price for any transfer, proposed or
  
  agreed upon, of the shares held by them without disclosing the fact or
  
  likelihood of transfer taking place on the basis of such negotiation,
  
  understanding or agreement, the majority shareholders shall share the additional
  
  compensation so received by them with such minority shareholders on a pro
  
  rata basis.
  Explanation. —For the purposes of
  
  this section, the expressions “acquirer” and “person acting in concert” shall
  
  have the meanings respectively assigned to them in clause (b ) and clause
  
  (e ) of sub-regulation (1 ) of regulation 2 of the Securities and
  
  Exchange Board of India (Substantial Acquisition of Shares and Takeovers)
  
  Regulations, 1997.
  1.     
  2.     
  3.     
  4.     
  5.     
  6.     
  7.     
  8.     
  9.      When a shareholder or
  
  the majority equity shareholder fails to acquire full purchase of the shares of
  
  the minority equity shareholders, then, the provisions of this section shall
  
  continue to apply to the residual minority equity shareholders, even though,—
  a.     
  
    the
  
  shares of the company of the residual minority equity shareholder had been
  
  delisted; and
  b.    
  
    the
  
  period of one year or the period specified in the regulations made by the
  
  Securities and Exchange Board under the Securities and Exchange Board of India
  
  Act, 1992, had elapsed.