Section 378ZJ Issue of bonus shares – Companies Act 2013

Section 378ZJ of Companies Act 2013 as amended by the Companies (Amendment) Act, 2020. Provisions and rules related to Issue of bonus shares.

Amended and updated notes on section 378ZJ of the Companies Act 2013 as amended by the Companies (Amendment) Act, 2020 and Company Rules made there under. Detail discussion on provisions and rules related to Issue of bonus shares.

Chapter XXIA PART-VI (Section 378ZE to 378ZJ) of the Companies Act 2013 (CA 2013) deals with the provisions related to finance, accounts and audits. Section 378ZJ of CA 2013 provides for Issue of bonus shares.

Recently, we have discussed in detail section 378ZI (General and other reserves) of CA 2013. Today, we learn the provisions of section 378ZJ of the Companies Act 2013.

In exercise of the powers conferred by sub-section (2) of section 1 of the Companies (Amendment) Act, 2020 (29 of 2020), the Central Government appoints the 11th February, 2021 as the date on which the provisions of section 52 of the Companies (Amendment) Act, 2020 shall come into force.

Accordingly, the provisions of section 378ZJ are effective from 11th February, 2021. You may refer Notification No. S.O. 644(E) dated 11-02-2021. In this article, you will learn detail of the provisions of section 378ZJ the Companies Act 2013.

Name of ActThe Companies Act 2013
Enacted byParliament of India
Administered byMinistry of Corporate Affairs (MCA)
Number of Chapters29
Number of Sections484 (470-43+57)
Number of Schedules7
You are reading:
Chapter No.XXIA (PART-VI)
Chapter NameFinance, Accounts and Audits
Section No.378ZJ
Section NameIssue of bonus shares
Monthly Updated EditionCompany Law PDF

Section 378ZJ: Issue of bonus shares

Any Producer Company may, upon recommendation of the Board and passing of resolution in the general meeting, issue bonus shares by capitalisation of amounts from general reserves referred to in section 378Z-I in proportion to the shares held by the Members on the date of the issue of such shares.


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