| UFL ‘s equity shares are listed on BSE. The code is as given here under : | ||
| Name of the Stock Exchange | : | BSE Ltd., |
| Scrip Code/ Scrip ID | : | 511507 USHAKIRA |
Dematerialisation means the conversion of a physical share certificate to electronic form representing the same number of shares held.
Prior to the dematerialisation era, shares were held in physical form by shareholders. They were sold physically and were sent to the companies for transfer which was then manually done on the reverse of the physical share certificate.
With the evolution of information technology, voluminous and cumbersome paper work involved in the scrip based system has been eliminated through dematerialisation of shares and automation of the process of transactions.
It offers scope for paperless trading through state-of-the-art technology, whereby share transactions and transfers are processed electronically without involving any share certificate or transfer deed after the share certificates have been converted from physical to electronic form.
Dematerialisation attempts to avoid the time consuming and complex process of getting shares transferred in the name of buyers and also aims to shirk inherent problems of bad deliveries, duplication frauds, delay in processing/ fraudulent interception in postal transit etc.
Dematerialisation of shares is optional and an investor can still hold shares in the physical form. However, he/ she has to dematerialise the shares if he/ she wishes to sell the same through the Stock Exchanges. Similarly, if an investor purchases shares, he/ she will get delivery of the shares in dematerialised form.
The Depositories Act, 1996 has been enacted to regulate matters related and incidental to the operation of Depositories and dematerialisation operations. In India, there are
2 Depositories in operation :
National Securities Depository Limited (NSDL) and
Central Depository Services (India) Limited (CDSL).
The operations in the Depository System involve the participation of a Depository, Depository Participants, Company/Registrars and Investors. The company is also called the Issuer.
The securities of investors are held in electronic form in a Depository (NSDL and CDSL) through Depository participants.
A Depository Participant is the agent of the Depository and is the medium through which shares are held in electronic form. They are also the representatives of the investor, providing the link between the investor and the Company through the Depository.
The transfer of securities occurs without the actual physical handling of securities. The Depository is accountable for the safe keeping of securities. The company signs an Agreement with NSDL/CDSL (the depositories) and installs the necessary hardware / software for operations.
Dematerialization is not compulsory.
According to the Depositories Act, 1996, an investor has the option to hold shares either in physical or in dematerialised form.
If the shares are held in the electronic form, the shares can be converted to physical form by Rematerialisation Request Form (RRF) through your DP. Upon receiving such a request from your DP, the Company will issue share certificates for the rematerialised shares.
The charges for dematerialising have to be borne by the shareholder. The charges differ from one DP to another.
Shares should be registered in your favour before they can be dematerialised. For this purpose you need to lodge the share certificates and a duly executed transfer deed with the company. Once the share transfer is processed, we will send an option letter for dematerialising your shares. You can then give us your Dematerialisation Account No. with the Dematerialisation Request form for the dematerialising process through your DP and the shares will be directly credited to your Dematerialised Account.