According to section 2(71) of the Companies Act. 2013 "Public company" means a company which is -
(1) not a private company;
(2) has a minimum paid up share capital as may be prescribed.
Features of public company:
1.Maximum number of members: The maximum number of member of a public company is unlimited.
2.Minimum number of members: In the case of public company, minimum number of member is seven.
3.Issue of prospectus: The public company can issue prospectus to the public for the subscription of shares and debentures.
4.Transferability of share: The shares of a public company are transferable, there is no restriction on the transfer of share in case of public company.
5.Number of directors and independent directions: A public company must have at least three directors and in case of Listed Companies, at least one third of the total number of directors as independent directors.
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