AdvertisementCan a Company Issue a Fresh Private Placement Offer Before Filing PAS,3 for the Earlier Allotment?, Section 42 of the Companies Act, 2013The article explains whether a company can issue a fresh private placement offer before filing Form PAS-3 for an earlier allotment under Section 42 of the Companies Act, 2013. It states that a fresh private placement offer may be made once the earlier allotment has been completed through the Board’s allotment resolution, as Section 42(3) links the restriction on a fresh offer to completion of allotment rather than filing PAS-3. Exemptions / RelaxationsNo private company, Section 8 company, Small Company, OPC or Specified IFSC company exemption relaxes either the Section 42(3) fresh,offer condition or the Section 42(4) money,utilisation condition private placement compliance under Section 42 applies uniformly regardless of the size or class of the company issuing the securities. On 15 July, the company wants to open a second private placement to raise a further ₹30 lakh. ConclusionA company can issue a fresh private placement offer even while PAS,3 for an earlier, already, allotted round is pending, Section 42(3)’s bar is tied to completion of allotment, not to the PAS,3 filing.