Conversion of Public Company into a Private Company or Vice versa :

(i) Conversion of public company into private company- A public company can be converted into a private company by passing a special resolution, alters its articles so as to include therein the restrictions contained in Section 2(68) of the Act. A special resolution passed to convert a public company into a private company is binding on dissenting shareholders provided it is bona fide, is in the interest of the company as a whole, and is consistent with the objects in the memorandum of association [Bal Ramba vs. Master Silk Mills AIR 1955 N.U.R. Saurashtra 927]. *Under Section 14(1), any alteration made in the articles to convert a public company into a private company shall take effect only with the approval of the Tribunal which shall make such order as it deems fit. [ * This proviso contained under the section 14(1) of the Companies Act, 2013 , is yet to be notified]

(ii) Conversion of private company into public company-Similarly where a private company alters its articles by passing special resolution in such a manner that they no longer includes the restrictions and limitations which are required to be included in the articles of a private company, then such company shall cease to be a private company from the date of such alteration.

Filing with the registrar: Every alteration of the articles and a copy of the order of the Tribunal approving the alteration shall be filed with the Registrar, together with a printed copy of the altered articles, within a period of fifteen days in such manner as may be prescribed, who shall register the same.

Any alteration of the articles registered as above shall, subject to the provisions of this Act, be valid as if it were originally in the articles.