COMPANIES ACT - 1963 (ACT 179)

    Section - 80 - Issue of Debentures or Debenture stock

    (1) A company may raise loan capital by the issue of a debenture or of a series of debentures or of debenture stock.

    (2) A debenture is a written acknowledgment of indebtedness by the company setting out the terms and conditions of the loan.

    (3) All debentures of the same series shall rank pari passu in all respects notwithstanding that they may be issued on different dates.

    (4) Instead of issuing debentures acknowledging separate loans to the company, the loans may be funded by the creation of debenture stock of a prescribed amount parts of which, represented by debenture stock certificates, may be issued to separate holders.

    (5) Debenture stock shall be created by deed under the common seal of the company either in the form of a deed poll or an indenture in favour of trustees for debenture stockholders.

    (6) In this Code, unless the context otherwise requires, the expression "debenture" includes "debenture stock" and the expression "debenture holder" includes "debenture stockholder".

    (7) A debenture holder shall not be a member of the company and, notwithstanding any provision in the debenture or the company's Regulations, shall not be entitled to attend and vote at any general meeting of the company.