Archive · 28 Aug 2026
NCLT Approves Godrej Redevelopers’ Selective Capital Reduction, Cancelling 26,506 Shares
The National Company Law Tribunal approved a plan by Godrej Redevelopers to cancel some of its shares.
The shares belonged to Shubh Properties Cooperatief U.A. A total of 26,506 shares will be cancelled.
Shubh Properties agreed to this cancellation without receiving money.
These shares made up 47.32% of the company’s shareholding.
The company’s total share capital will become smaller after the cancellation.
The company said creditors and government dues would not be harmed.
The Tribunal accepted the company’s explanations and called the plan fair and reasonable.
The NCLT approved Godrej Redevelopers’ proposal to cancel 26,506 fully paid-up shares held by Shubh Properties without consideration.
The cancelled shares represented 47.32% of the company’s shareholding.
The company’s subscribed and paid-up equity capital will fall from Rs 5,60,140 to Rs 2,95,080.
Shubh Properties consented to the reduction through a letter dated April 1, 2026, later submitted in apostilled form.
The Tribunal found the proposal fair and reasonable after considering regulatory concerns about creditors, taxes, disclosures and RERA compliance.
- Who
- The National Company Law Tribunal, Godrej Redevelopers (Mumbai) Private Limited and shareholder Shubh Properties Cooperatief U.A.
- What
- The NCLT sanctioned the selective cancellation and extinguishment of 26,506 fully paid-up equity shares without consideration.
- When
- The order was pronounced on August 25, 2026, and the report was dated August 27, 2026.
- Where
- The matter involved the NCLT and the Registrar of Companies, Mumbai-I.
- Why
- The company sought to reduce its subscribed and paid-up equity share capital through the cancellation of shares held by Shubh Properties.
- Shares cancelled
- 26,506 fully paid-up equity shares
- Shareholder
- Shubh Properties Cooperatief U.A.
- Consideration
- No payment or other consideration
- Shareholding represented
- 47.32%
- Capital before reduction
- Rs 5,60,140 divided into 56,014 shares of Rs 10 each
- Capital after reduction
- Rs 2,95,080 divided into 29,508 shares of Rs 10 each
- Legal provision
- Section 66 of the Companies Act, 2013