RGNUL FINANCIAL AND MERCANTILE LAW REVIEW

This two-part post is authored by Pranshu Gupta and R. Kavipriyan, 4th-year students of B.A.LL.B. (Hons.) at NALSAR University of Law, Hyderabad. The first part can be accessed here. In Part I of this post, there was a discussion on the background of DVRs in India, along with the changes made through the recent amendment. The general drawbacks of such shares were also discussed. This part analyses the DVR Framework in particular, and points out several issues with the same. F

This two-part post is authored by Pranshu Gupta and R. Kavipriyan, 4th-year students of B.A. LL.B. (Hons.) at NALSAR University of Law, Hyderabad. The second part can be accessed here. 1. INTRODUCTION Contrary to the corporate law principle of ‘one share one vote’, shares with differential voting rights (“DVRs”) enable the company to issue shares with either superior voting rights (“SR Shares”), or fractional voting rights (“FR Shares”). Recently, the Securities and Exchange