Section 9A(3) in The Companies (Prospectus and Allotment of Securities) Rules, 2014
(3)Every holder of securities of an unlisted public company,-(a)who intends to transfer such securities on or after 2nd October, 2018, shall get such securities dematerialised before the transfer; or(b)who subscribes to any securities of an unlisted public company (whether by way of private placement or bonus shares or rights offer) on or after 2nd October, 2018 shall ensure that all his existing securities are held in dematerialized form before such subscription.
