In what scenario can class meetings be held within a company?

Class meetings within a company are convened specifically for classes of shareholders or debenture holders who may have distinct rights or obligations that need to be addressed separately from the broader interests of the company. This allows members of a specific class to discuss matters that directly affect them, such as changes in rights, terms of debt instruments, or class-specific resolutions.

Holding these meetings ensures that the interests of each class are appropriately represented and considered in corporate decisions, helping to maintain fair treatment among different groups within the company. It is important for corporate governance, enabling transparent and democratic processes in which members can voice their concerns and vote on matters affecting their interests.

While other options may involve significant corporate activity, such as mergers or issuing new shares, these activities do not inherently provide a structure for class meetings unless they specifically impact the rights or interests of a particular class of stakeholders. Additionally, although an annual general meeting is a platform for addressing various corporate matters, it usually encompasses all shareholders rather than focusing on separate classes. Thus, the scenario that correctly identifies the context for holding class meetings is when there is a need to address issues pertinent to specific classes of stakeholders.