1. What is Dematerialization of shares?

Dematerialization (or demat) is the process of converting shares held in physical form into electronic form. Under this process, the shares held by the shareholder in physical form are converted into an equal number of shares in electronic form and credited into the shareholder's demat account maintained by him with his/her Depository Participant (DP).

2. What are the benefits of Dematerialization?

Shares held in demat form have several benefits and helps in eliminating many problems that shareholders face while dealing with shares. Holding shares in demat form minimizes paperwork that is involved with the ownership of shares. It facilitates faster transactions and makes trade of securities extremely convenient. There are a wide range of benefits associated with holding securities in dematerialization form such as:-

• Facilitates buying / selling of shares through stock exchanges
• The risks pertaining to physical certificates like loss, theft, forgery and damage are eliminated completely with a demat account.
• The lack of paperwork enables quicker transactions and higher efficiency in trading including immediate transfer of shares and faster settlement cycle.
• Ease in portfolio monitoring

3. How do I demat my shares?

Shareholders are requested to approach any Depository Participant having registration with SEBI to open a Demat account
You may visit website of the Depositories viz. NSDL or CDSL for understanding about the demat procedure:
NSDL website: https://nsdl.co.in/faqs/faq.php (dematerialisation)
CDSL website: https://www.cdslindia.com/investors/open-demat.aspx

4. Whom should I inform the change in my address, bank account details etc. in respect of shares held in demat form?

As your demat account is maintained by your Depository Participant (DP), all request/communication regarding change in address, bank account details, ECS mandate, registration of nomination etc. should be addressed to your DP directly

5. I hold Company’s shares in physical form. How do I transfer or sell these shares?

Pursuant to SEBI circular dated December 3, 2018 transfer of shares in physical form is restricted effective from March 31, 2019 except in case of transmission and transposition. The shares can be sold and transferred only once the shares are dematerialized.

6. Do I need to raise dematerialization request for availing investor service in case my holding is in physical form?

Pursuant to SEBI Circular dated January 25, 2022, all listed companies shall issue the securities in dematerialized form while processing the following service request:

In case you are holder of physical securities, please submit duly filled Form ISR-4 and for the above services from c to h, you are also required to provide original securities certificate(s) in order to enable RTA to process your service request.
Our RTA will thereafter issue a “Letter of Confirmation” in lieu of physical securities certificate(s) within 30 days of receipt of service request by them. Letter of Confirmation will be valid for 120 days within which the securities holder/claimant is required to make a request along with the original letter or a copy of email with e-signature and/or digital signature, to the Depository Participant (“DP”).

7. What happens in case demat request is not raised within the aforesaid timelines?

In case of failure to submit demat request, RTA will credit the securities to the Suspense Escrow Demat Account of the Company.

1. I have lost/misplaced my share certificate(s), what are the steps that I should take to obtain duplicate share certificate(s)?

Please inform our RTA immediately about the loss of share certificate(s). Kindly quote your folio number and, if available, details of share certificate(s). If you hold shares jointly, then all the joint holders are required to sign the intimation letter.
You are requested to submit the following documents for obtaining duplicate share certificate:

SEBI, vide its Circular dated January 25, 2022, has mandated all listed companies to issue securities in dematerialized form only while processing the service request for issuance of duplicate share certificate.

2. I want to change the order of names of joint holders appearing on the share certificate(s)?

Please submit a request letter duly signed by all the joint holders along with duly filled & signed Form ISR-4, self-attested copy of their PAN Card and original share certificate(s) to our RTA for change in the order of names.

3. What action should I take if I retrieve the original share certificate(s), which I had reported to the Company to be lost?

Please surrender the original share certificate(s) to our RTA immediately, if duplicate share certificates have been issued. However, if the original share certificates are found before you comply with the procedure for obtaining duplicate share certificate(s), please inform our RTA immediately.

1. What is nomination facility?

Nomination refers to the act of nominating a person in whom the shares would vest in the event of unfortunate death of the nominator (shareholder).

2. Can a nomination once made be changed?

A nomination once made may be varied or cancelled by submitting duly filled & signed Form SH-14 and Form ISR-3 (required only for cancellation of nomination) to our RTA in case of securities held in physical form. Further for shares held in demat form, the same is required to be submitted to Depository Participant with whom you have a demat account.

3. How do I make a nomination with regard to my shareholding?

If you hold shares in physical form, details of nomination shall be furnished to our RTA in hard copy or through electronic mode with e-signature* in the following manner:
Either of the following,

*The holder/claimant may approach any of the empanelled eSign Service provider, details of which are available on the website of Controller of Certifying Authorities (CCA), Ministry of Communications and Information Technology (https://cca.gov.in/) for the purpose of obtaining an e-sign.

4. What is the procedure for getting the shares held in single name having nomination to be transmitted in favour of the Nominee?

In case securities are held in physical form:
The Nominee will have to submit a request letter to our RTA along with copy of death certificate of the deceased shareholder duly attested by Notary Public or by Gazetted Officer, copy of valid proof of address duly attested by Notary Public or Gazetted Officer, self-attested copy of PAN card and original share certificate(s).
In case securities are held in demat form:
Request you to approach to Depository Participant (“DP”) with whom you have demat account.

1. How does transfer takes place in case of physical shares?

Pursuant to SEBI circular dated December 3, 2018, transfer of shares in physical form is restricted effective from March 31, 2019 except in case of transmission and transposition. The shares can be sold and transferred only once the shares are dematerialized.

2. How transmission is carried out when securities are held in Physical mode?

1. a. where the securities are held in single name with a nominee, following documents shall be submitted:
   
• duly signed transmission request form by the nominee;
• original or copy of death certificate duly attested by the nominee subject to verification with the original or copy of death certificate duly attested by a notary public or by a Gazetted Officer;
• self-attested copy of PAN card of the nominee, issued by the Income Tax Department
• Original Share Certificates
2. 
   b. where the securities are held in single name without a nominee, following documents shall be submitted:
   
• a notarized affidavit from all legal heir(s) made on non-judicial stamp paper of appropriate value, to the effect of identification and claim of legal ownership to the securities.
  Provided that in case the legal heir(s)/claimant(s) are named in the Succession Certificate or Probate of Will or Will or Letter of Administration as may be applicable in terms of Indian Succession Act, 1925 (39 of 1925) or Legal Heirship Certificate or its equivalent certificate issued by a competent Government Authority, an affidavit from such legal heir(s)/claimant(s) alone shall be sufficient;
• duly signed transmission request form by the legal heir(s)/claimant(s);
• original death certificate or copy of death certificate attested by the legal heir(s)/claimant(s) subject to verification with the original or copy of death certificate duly attested by a notary public or by a Gazetted Officer;
• self-attested copy of the PAN card of the legal heir(s)/claimant(s), issued by the Income Tax Department;
• a copy of Succession Certificate or Probate of Will or Will or Letter of Administration or Court Decree as may be applicable in terms of Indian Succession Act, 1925 (39 of 1925) or Legal Heirship Certificate or its equivalent certificate issued by a competent Government Authority, attested by the legal heir(s)/claimant(s) subject to verification with the original or duly attested by a notary public or by a Gazetted Officer;
  Provided that in a case where a copy of Will or a Legal Heirship Certificate or its equivalent certificate issued by a competent Government Authority is submitted, the same shall be accompanied with a notarized indemnity bond from the legal heir(s) /claimant(s) to whom the securities are transmitted, in the format specified by the Board;
  Provided further that in a case where a copy of Legal Heirship Certificate or its equivalent certificate issued by a competent Government Authority is submitted, the same shall also be accompanied with a No Objection from all non-claimants, stating that they have relinquished their rights to the claim for transmission of securities;
• for cases where value of securities is upto rupees five lakhs per listed entity in case of securities held in physical mode, and upto rupees fifteen lakhs per beneficial owner in case of securities held in dematerialized mode, as on date of application, and where the documents mentioned in para (e) are not available, the legal heir(s) /claimant(s) may submit the following documents:
1. no objection certificate from all legal heir(s) stating that they do not object to such transmission or copy of family settlement deed executed by all the legal heirs duly attested by a notary public or by a Gazetted Officer; and
2. a notarized indemnity bond made on non-judicial stamp paper of appropriate value, indemnifying the Share Transfer Agent/ listed entity, in the format specified by the Board;
   Provided that the listed entity may, at its discretion, enhance the value of securities from the threshold limit of rupees five lakhs, in case of securities held in physical mode.
• Additional Documents in case claimant is a minor
  • Copy of Birth Certificate
  • KYC Documents of the Guardian The claimant is also required to submit Form ISR-4 and documents required thereof, available on the website of the Company and RTA. Thereafter, submit a request for dematerialization of securities within 120 days of receiving “Letter of Confirmation” from RTA, to the Depository Participant (“DP”). In case of failure, RTA will credit the securities to the Suspense Escrow Demat Account of the Company.

3. What is the meaning of ‘Transmission cum Demat’?

Transmission cum Demat is a very useful facility when one of the joint holders mentioned in securities certificate (held in physical form) has died and remaining holder(s) wish to have the securities transmitted in their name in demat form. Using this facility the twin objectives of deletion of name of one of the deceased joint holders and dematerialization of securities can be achieved in a single step.

4. What happens in case the legal heir(s) cannot trace the share certificate(s)?

The legal heir(s) may apply to the Company for issuance of duplicate share certificate(s) along with their request for transmission of shares. In addition to submission of documents prescribed for transmission of share(s), legal heir(s) is / are required to follow the procedure for issue of duplicate share certificate(s).

5. How do the surviving shareholder(s) get the shares in their names in the event of death of joint holder?

In such a case, the securities would be transmitted to the surviving holder(s), irrespective of the nomination. For example, if the account is in the joint names of Mr. A, Mr. B and Mrs. C, in the event of the death of Mr. B, the securities will be transmitted to surviving holders that is, Mr. A and Mrs. C. The surviving holder(s) would need to submit the following documents to the DP:

After verifying the above documents and satisfying himself, the DP will transmit the securities to the surviving holder(s) account and will close the account of the deceased.