Shares issued by a company against which shareholders have only made partial payment are called partially paid shares.
Some aspects affected by partly paid shares are:
a. Issue of bonus shares: A company cannot issue bonus shares unless shares are fully paid up.
b. Transfer of partly paid shares: A company has to notify the transferee of partial payment and obtain a no objection certificate to record the transfer of such shares.
c. Conversion: Convertible shares can be converted to equity only when they are fully paid up.