Share transfer is a fundamental process in the corporate and securities markets, involving the transfer of ownership of shares from one party (the transferor) to another (the transferee). This process is essential for the buying and selling of shares, enabling shareholders to liquidate their holdings or transfer ownership as part of estate planning, gifts, or corporate restructuring.

1. Execution of Share Transfer Deed: The transferor and transferee must sign a share transfer deed, which is a legal document detailing the number of shares being transferred, the names of the parties, and the consideration paid.
2. Stamp Duty Payment: The transfer deed must be stamped according to the applicable laws to validate the transaction.
3. Presentation to the Company: The transfer deed, along with share certificates and other relevant documents, is submitted to the company’s registrar or share transfer agent.
4. Registration of Transfer: The company verifies the documents and, upon satisfaction, records the transfer in the register of members. New share certificates are issued to the transferee, and old certificates are canceled.
5. Completion of Transfer: The transfer is considered complete once the company updates its records and issues new certificates to the transferee.

Share transfer is governed by various laws and regulations, including the Companies Act, Securities Laws, and the Articles of Association of the company. These laws aim to ensure transparency, protect shareholder rights, and prevent fraud.