For this purpose, the company has included a special resolution for amendment of articles of association to incorporate an enabling clause for sweat equity capital which will come up for approval by the shareholders at the company AGM slated for May 27.

It would come into implementation the moment the Sebi detailed guidelines come through, a company official said.

The AGM will also take up the proposal for a preferential allotment of five lakh equity shares of Rs 10 each at a premium that is to be decided at a later date.

The preferential issue, according to the fifth annual report of the company, is necessitated as VisualSoft is contemplating joint ventures, strategic alliances, acquisitions and mergers in the near future.