SEBI Speeds Up IPO Listing Process, Giving Investors Faster Access To Shares

The Securities and Exchange Board of India (SEBI) has announced a number of changes to the rules governing initial public offerings (IPOs). One of the most significant changes is the halving of the listing timeline from six days to three days. This means that companies that go public through an IPO will now be able to list their shares on stock exchanges within three days of the closure of the issue.

The other changes announced by SEBI include:

  • A tightening of disclosure norms for foreign portfolio investors (FPIs). FPIs will now be required to disclose more information about their ownership and control of Indian companies.
  • A new requirement for companies to have a minimum public shareholding of 25% within one year of listing. This is up from the current requirement of 20%.
  • A relaxation of the rules governing the pricing of IPOs. Companies will now be allowed to price their IPOs at a premium of up to 20% over the offer price.

The changes announced by SEBI are intended to make the IPO process more efficient and transparent. They are also expected to encourage more companies to go public.

Here are some of the highlights of the new SEBI rules for IPOs:

  • The listing timeline for IPOs has been halved from six days to three days.
  • FPIs will now be required to disclose more information about their ownership and control of Indian companies.
  • Companies will now be required to have a minimum public shareholding of 25% within one year of listing.
  • The rules governing the pricing of IPOs have been relaxed, allowing companies to price their IPOs at a premium of up to 20% over the offer price.

The new SEBI rules are a positive development for the Indian stock market. They are expected to make the IPO process more efficient and transparent, and to encourage more companies to go public.

Hindi Audio News Speeker 👇🏻

Leave a Reply

Your email address will not be published. Required fields are marked *