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SEBI mandates reporting of demised investors
The Securities and Exchange Board of India (SEBI) has mandated the reporting of investor demise by market participants and introduced a centralised reporting mechanism through know your customer (KYC) registration agencies.
The SEBI’s circular spells...
SEBI bars Zee promoters from management
The Securities Appellate Tribunal (SAT) is “not satisfied” with the Securities and Exchange Board of India’s (SEBI) recent confirmatory order against Zee’s former managing director and CEO, Punit Goenka, that barred him from holding...
SEBI proposes better governance of equities
The Securities and Exchange Board of India (SEBI) has proposed measures to bolster governance in the equities market.
In a consultation paper, the regulator recommended that asset management companies (AMCs) establish surveillance and internal control...
SEBI strengthening governance and protecting minority shareholders
The Securities and Exchange Board of India (SEBI) notified the SEBI (Listing Obligations and Disclosure Requirements) (Second Amendment) Regulations, 2023 (LODR amendment) on 14 June 2023. Among other matters, it sets out provisions to...
SEBI completes rollout of XBRL format for IPOs
The Securities and Exchange Board of India (SEBI) has completed a new measure aimed at implementing the XBRL format for filing IPO papers and securities issues.
XBRL (extensible business reporting language) is a globally recognised...
SEBI’s buyback regulations streamlined
The Securities and Exchange Board of India (SEBI) has announced amendments to its Buy-Back Regulations with the aim of streamlining the process of buybacks, promoting the ease of doing business and creating a level...
SEBI introduces ISD to boost stakeholder awareness
In a move towards creating greater transparency, the Securities and Exchange Board of India (SEBI) issued a circular announcing the introduction of the issue summary document (ISD) and the dissemination of issue advertisements.
The circular...
SEBI permits 39 entities to use e-KYC Aadhaar services
The Securities and Exchange Board of India (SEBI) recently listed 39 entities to use the e-KYC Aadhaar authentication services in the securities market as a sub-KYC (know your customer) user agency, under the Prevention...
SEBI cuts time for listing debt securities
To expedite the trading of securities by investors, the Securities and Exchange Board of India (SEBI) has stipulated a three working day (T+3) timeline for listing of debt securities issued on a private placement...
India’s stock regulator SEBI probes report claims against Adani
The Securities and Exchange Board of India (SEBI) has told the Supreme Court that it is investigating the Hindenburg Research report’s claims of financial irregularities among the Adani group of companies.
“As the matter is...
AIFs must ring-fence assets, liabilities in schemes: SEBI
Alternative investment funds (AIF), including venture capital (VC) and private equity (PE) firms, must “segregate and ring-fence” liabilities and assets of each scheme from others, mandated the Securities and Exchange Board of India (SEBI).
“The...
SEBI changes framework on non-convertible debt securities
The Securities and Exchange Board of India (SEBI) plans to review the norms on the electronic book provider (EBP) platform, using it to issue and list non-convertible securities, securitised debt instruments, security receipts, municipal...
SEBI extends settlement scheme
The Securities and Exchange Board of India has extended the SEBI Settlement Scheme 2022, for companies involved in trading in illiquid stock options, until 21 January 2023. The scheme began on 22 August and...
SEBI to offer ‘pre-filing’ for IPOs
The Securities and Exchange Board of India (SEBI) has proposed to offer companies floating shares to confidentially “pre-file” the offer document with them. The regulator has invited comments on the matter to be sent...
Supreme Court rules that SEBI must disclose
The Securities and Exchange Board of India (SEBI) issued the SEBI (AF) Regulations, 2003 (regulations), to regulate unlawful, fraudulent and unfair trade practices in the securities market. The regulations give SEBI and the investigating...
SEBI amends CIS regulations
The Securities and Exchange Board of India (SEBI), in its quarterly board meeting held at the end of March, amended regulations governing collective investment schemes (CIS) to bring them on a par with mutual fund...
SEBI mulls stricter disclosure norms for tech cos
The Securities and Exchange Board of India (SEBI) has proposed amendments to the valuation methods adopted by new-age technology companies, such as introducing key performance indicators (KPI) besides existing disclosures in an IPO prospectus.
The...
Role of SEBI in ‘year of IPOs’
The capital markets regulator has facilitated IPOs in 2021, but has also sought to deter large shareholders from using them as an avenue for quick company exits, writes Manshoor Nazki
The year 2021 has undoubtedly been...
SEBI introduces special situation funds
The Securities and Exchanges Board of India (SEBI) has introduced a new sub-category under alternate investment funds to recognise special situation funds (SSFs).
On 24 January 2022, the securities regulator notified the amended SEBI (Alternative...
SEBI revises related party disclosure requirements
The Securities and Exchange Board of India (SEBI) has issued amendments to disclosure requirements on related party transactions (RPTs) for listed companies.
The new requirements will come into force with effect from 1 April 2022....
SEBI relaxes lock-in norms
The Securities and Exchange Board of India (SEBI) has notified relaxations to lock-in requirements for shareholdings of promoters and non-promoters under the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.
The amendments, in effect...
SEBI imposes greater duties on debenture trustees
In October 2020, the Securities and Exchange Board of India (SEBI) amended the SEBI (Issue and Listing of Debt Securities) Regulations, 2008 (ILDS Regulations), and SEBI (Debenture Trustees) Regulations, 1993 (DT Regulations), to further...
SEBI’s awkward two-step on recent changes
The Securities and Exchange Board of India (SEBI) recently introduced a series of changes to protect investors in listed issuance debt securities. The precursor to these changes was a little noticed amendment to the...
Implications of SEBI guidance on angel funds
On 17 September 2020, the Securities and Exchange Board of India (SEBI) issued an informal guidance to Lets Venture Advisors, manager to LV Angel Fund, an angel fund registered with the SEBI under the...
SEBI prepares guidelines for proxy advisers
The concept of a “proxy adviser” is of Western import, and, despite its nascency, has slowly and steadily gained importance in the Indian market as a critical intermediary and a rather persuasive influencer of...
SEBI revises norms for portfolio managers
The portfolio management services (PMS) industry has witnessed robust growth of 18% CAGR (compound annual growth rate) in the past five years, with assets under management (AUM) rising to ₹13.7 trillion (US$183.86 billion) from...
Recent SEBI amendments to pledge disclosures
Raising debt by pledging shares is a common practice in the banking and finance industry. However, pledging the shares of a listed company has a direct impact on the marketability of those shares, and...
SEBI updates foreign portfolio regulations
The Securities and Exchange Board of India has released SEBI (Foreign Portfolio Investors) Regulations, 2019, to replace SEBI (Foreign Portfolio Investors) Regulations, 2014. The FPI regulations, 2019 seek to simplify the 2014 regulations by...
Analyzing SEBI’s paper on rewarding whistleblowers
The Securities and Exchange Board of India (SEBI) faces numerous challenges in investigating and determining insider trading violations. Lack of direct or conclusive evidence of violations is a key challenge in most cases. On...
SEBI limits exemption from open offer on debt conversion
The Securities and Exchange Board of India (SEBI) no longer considers entities that are not scheduled commercial banks (SCBs) or all India financial institutions (AIFIs) as “lenders” for exemption from a mandatory open offer...
SEBI mulls bounties for insider trading informants
The Securities and Exchange Board of India (SEBI) recently circulated a discussion paper on amendments to the SEBI (Prohibition of Insider Trading) Regulations, 2015 (PIT regulations), towards provisioning for an informant mechanism.
The PIT regulations...
SEBI raises questions on IBC’s overriding provisions
A recent challenge by the Securities and Exchange Board of India (SEBI) before the Supreme Court exemplifies how the Insolvency and Bankruptcy Code, 2016 (IBC), remains a heavily contested field. The Supreme Court is...
SEBI issues circular for alternative investment funds
The Securities and Exchange Board of India (SEBI) on 26 November 2018 issued a circular outlining the operating guidelines for alternative investment funds (AIFs) in the international financial services centre (IFSC). SEBI had issued...
Information sharing under SEBI’s insider trading rules
The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015 (PITR), prohibits communication of unpublished price sensitive information (UPSI) to any person except where it is in furtherance of legitimate purposes,...
SEBI allows foreign participation in commodity derivatives
The Securities and Exchange Board of India (SEBI), through a circular dated 9 October 2018, has permitted foreign entities having actual exposure to the Indian commodity markets to participate in the commodity derivative segment...
SEBI clarifies on transfer of securities
The Securities and Exchange Board of India (SEBI) issued a press release on 10 August that provides clarifications with respect to amendments to regulation 40 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations,...
SEBI pricing norms for merger schemes
Listed companies undertaking schemes for compromises and arrangements have to comply with conditions prescribed by the Securities and Exchange Board of India (SEBI). The framework for this is set out in a circular issued...
Ex-SEBI chief joins CAM
Cyril Amarchand Mangaldas has established a corporate governance centre (CGC) and appointed the former chairman of the Securities and Exchange Board of India (SEBI), UK Sinha, to lead it in the capacity of a...
SEBI issues exemption application format under takeover code
The Securities and Exchange Board of India (SEBI) has been empowered by SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 (takeover code), to grant exemption from the obligation to make an open offer for...
SEBI modifies block deal window mechanism
The Securities and Exchange Board of India (SEBI) on 26 October issued Circular No. CIR/MRD/DP/118/2017 overhauling the mechanism for block deals. These were instituted in 2005 as transactions involving the purchase/sale of a minimum...
SEBI further liberalizes REITs
The Securities and Exchange Board of India (SEBI) on 18 September notified decisions it has taken in relation to regulations governing real estate investment trusts (REITs) and infrastructure investment trusts (InvITs).
REITs, which were until...
SEBI unveils amendments for investment in debt
On 27 February, the Securities and Exchange Board of India (SEBI) released amendments to the SEBI (Foreign Portfolio Investors) Regulations, 2014, that permit foreign portfolio investors to invest in unlisted non-convertible debentures/bonds issued by...
SEBI clarifies timeline for draft letter of offer
The Securities and Exchange Board of India (SEBI) has revised the time period for which information is required to be filed in a draft letter of offer in accordance with the provisions of the...
Companies to face SEBI’s tightened merger regime
The Securities and Exchange Board of India (SEBI), in its meeting on 14 January, proposed revisions to the regulatory framework governing the merger of an unlisted company with a listed company.
The existing regime comprises
(a)...
SEBI issues guidance on evaluating board of directors
The Securities and Exchange Board of India (SEBI) released a guidance note dated 5 January on the evaluation of the board of directors of a listed company. The note aims to help companies evaluate...
SEBI amends listing obligations and disclosure requirements
The Securities and Exchange Board of India (SEBI) has amended the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, through the SEBI (Listing Obligations and Disclosure Requirements) (Second Amendment) Regulations, 2016. The amendment has...
SEBI amends guidance note on insider trading
The Securities and Exchange Board of India (SEBI) amended the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009, with effect from 17 February to provide dissenting shareholders with an exit opportunity in terms...
SEBI provides exit for dissenting shareholders
The Securities and Exchange Board of India (SEBI) issued a notification on 17 February to amend the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009, by inserting chapter VI-A, which gives dissenting shareholders...
FAQs on SEBI’s listing and disclosure rules
Last year, the Securities and Exchange Board of India (SEBI) notified the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Since then, SEBI has published multiple frequently asked questions (FAQs) to facilitate the listing process...
SEBI updates listing obligations and disclosure rules
On 2 September, SEBI published the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, which come into effect on 1 December 2015. Two provisions, however, came into force with immediate effect. They are:
Passing...
SEBI can probe and take action in case of sham GDR issue
Allowing an appeal in Securities and Exchange Board of India v Pan Asia Advisors Ltd & Anr, the Supreme Court held that the Securities and Exchange Board of India (SEBI) had jurisdiction to initiate...
SEBI amends issue of capital requirements
On 11 August, the Securities and Exchange Board of India notified a third amendment to the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009. Some of the key changes to regulation 10 (Fast...
Delisting before open offer: SEBI’s missed opportunity?
The Securities and Exchange Board of India (SEBI) has recently notified crucial amendments to the SEBI (Delisting of Equity Shares) Regulations, 2009 (Delisting Regulations), and the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations,...
SEBI notifies amended delisting regulations
The Securities and Exchange Board of India (SEBI) notified the SEBI (Delisting of Equity Shares) (Amendment) Regulations, 2015 (amendment regulations), on 24 March amending the SEBI (Delisting of Equity Shares) Regulations, 2009 (delisting regulations)....
SEBI redefines ‘venture capital undertaking’
The Securities and Exchange Board of India (SEBI) has made amendments to the SEBI (Foreign Venture Capital Investors) Regulations, 2000, through the SEBI (Foreign Venture Capital Investors) (Amendment) Regulations, 2014, dated 30 December 2014.
Under...
SEBI amends clause 49 of the Listing Agreement
By way of a circular dated 15 September, the Securities and Exchange Board of India (SEBI) has streamlined and clarified the corporate governance compliance requirements of listed companies. Clause 49 of the Listing Agreement...
SEBI clarifies amended rules for preferential issues
On 25 August, the Securities and Exchange Board of India (SEBI) issued the SEBI (Issue of Capital and Disclosure) (Second Amendment) Regulations, 2014, introducing new and revised regulations on preferential issues.
Through a circular dated...
SEBI amends Equity Listing Agreement
The Securities and Exchange Board of India (SEBI) issued a circular on 15 September amending clause 49 of the Equity Listing Agreement, with effect from 1 October. The salient features of the circular are...
SEBI releases new risk management and margin rules
On 15 May, the Securities and Exchange Board of India (SEBI) released a circular on the risk management framework for foreign portfolio investors (FPIs) under the SEBI (Foreign Portfolio Investors) Regulations, 2014.
As per this...
SEBI allows shareholders’ options/pre-emptive rights
The question as to a shareholder’s right to enter into a private arrangement in relation to transfer of shares of a public company was resolved by a decision of Bombay High Court in Messer...
Alstom complies with SEBI rules
Amarchand Mangaldas acted as legal counsel to Alstom T&D India in its issue of 16,942,500 equity shares to qualified institutional buyers through an institutional placement programme.
Alstom T&D India, a subsidiary of the French company...
A look at SEBI notification allowing contractual rights
With the issuance on 3 October of a notification under the Securities Contracts (Regulation) Act, 1956, the Securities and Exchange Board of India (SEBI) provided much needed clarity on the validity of contracts relating...
SEBI provides platform for listing without an IPO
As a welcome development for the Indian start-up ecosystem and small and medium enterprises (SMEs), the Securities and Exchange Board of India (SEBI) recently notified the regulations for the listing of small and medium...
SEBI permits options and pre-emptive rights
The Securities and Exchange Board of India (SEBI), by a recent notification, has agreed to include clauses relating to pre-emptive rights (right of first offer, tag-along right, drag-along right) and call and put options,...
SEBI updates investment fund regulations
The Securities and Exchange Board of India (SEBI) has notified the first amendment to the SEBI (Alternative Investment Funds) Regulations, 2012 (AIF regulations). The key amendments are outlined below:
Permission to market a fund prior...
Analysis of circular shows SEBI is being too cautious
The Securities and Exchange Board of India (SEBI) issued a circular on 4 February, withdrawing its earlier circular dated 3 September 2009, setting stringent requirements for listed companies and stock exchanges in relation to...
SEBI approves framework for angel funds
The Securities and Exchange Board of India (SEBI), at its board meeting on 25 June, approved amendments to the SEBI (Alternative Investment Fund) Regulations, 2012 (AIF regulations), thereby providing a framework for the setup...
SEBI guidelines on employee stock schemes clarified
The Securities Exchange Board of India (SEBI), through a circular dated 13 May, provided some clarifications to an earlier SEBI circular dated 17 January 2013, which made amendments to the SEBI (Employee Stock Option...
SEBI sparks race to comply with shareholding rules
The Securities and Exchange Board of India (SEBI) has begun penalizing public listed companies that failed to meet the 3 June deadline for putting a minimum of 25% of their equity shares in public...
SEBI notifies investment adviser regulations
On 21 January, the Securities and Exchange Board of India (SEBI) notified the SEBI (Investment Advisers) Regulations, 2013 (IA Regulations). These regulations have been introduced with a view to regulate the work of investment...
SEBI amends debt listing regulations
On 12 October the Securities and Exchange Board of India (SEBI) amended the SEBI (Issue and Listing of Debt Securities) Regulations, 2008. Some of the key changes in the regulations are outlined briefly below.
Addition...
SEBI issues circular on OFS route
In January, the Securities and Exchange Board of India (SEBI) introduced two additional routes for listed companies to meet the minimum 25% public shareholding requirement under the listing agreement: the institutional placement programme, and...
RBI and SEBI further liberalize QFI framework
The Securities and Exchange Board of India (SEBI) through a circular on 7 June and the Reserve Bank of India (RBI) in a circular dated 16 July have revised the investment framework for qualified...
SEBI streamlines FII debt limit process
In a circular on 6 February 2009, the Securities and Exchange Board of India (SEBI) introduced an open bidding process to allocate a cumulative debt investment limit of US$15 billion for foreign institutional investors...
Proposals could improve SEBI consent order rules
India’s securities and capital markets regulator, the Securities and Exchange Board of India (SEBI), is empowered to pursue civil/administrative and criminal action under the provisions of the SEBI Act, 1992, the Securities Contracts (Regulation)...
QFIs: A welcome move by SEBI for foreign investors
The Securities and Exchange Board of India (SEBI), through a circular dated 13 January, allowed qualified foreign investors (QFIs) to invest in the Indian equity market. The decision to open the equity market to...
SEBI to regulate private pools of capital
The Securities and Exchange Board of India (SEBI) has published its draft SEBI (Alternative Investment Funds) Regulations, 2011, which seek to introduce a comprehensive regulatory framework to regulate private pools of capital, also known...
SEBI imposes restrictions on IDR redemption
The Securities and Exchange Board of India (SEBI) has dealt a blow to foreign investors with an announcement that Indian depository receipts (IDRs) cannot be redeemed into underlying equity shares unless the IDRs are...
SEBI reviews ownership and governance of MIIs
A committee appointed by the Securities and Exchange Board of India (SEBI), has submitted a report reviewing the existing norms regarding the ownership and governance of market infrastructure institutions (MIIs).
The report discusses the existing...
SEBI changes give retail investors more participation
In yet another move to up the role of the retail investor in the stock market the Securities and Exchange Board of India (SEBI) has recently amended the SEBI (Issue of Capital and Disclosure...
The final verdict on ULIPs: has SEBI lost?
The five-month-long proxy battle between the Securities and Exchange Board of India (SEBI) and the Insurance Regulatory Development Authority (IRDA) has ended abruptly. On 18 June the president promulgated the Securities and Insurance Laws...
SEBI legal chief goes solo
Sandeep Parekh, a former head of legal affairs and enforcement at the Securities and Exchange Board of India (SEBI), has set up a boutique law firm in Mumbai. The firm, which is called Finsec...
SEBI reduces timeline for listing by 10 days
In an effort to make public issue of shares more transparent and faster, the Securities and Exchange Board of India (SEBI) has almost halved the time allowed between closure of an issue and its...
SEBI bans insurers from ULIP issues
The Securities and Exchange Board of India (SEBI) has banned 14 life insurance companies, including those belonging to Tata, the State Bank of India (SBI), ICICI, HDFC and Anil Ambani’s Reliance group, from raising...
SEBI slams FII for inadequate disclosure
In a recent investigation, the Securities and Exchange Board of India (SEBI) came across apparent discrepancies with respect to disclosure filings made for the issuance of offshore derivative instruments (ODIs) by Société Générale to...
SEBI clarifies ambiguities in takeover code
Pursuant to its board meeting on 22 September 2009 the Securities and Exchange Board of India (SEBI) has sprung into action, bringing out a notification dated 6 November (the “amendment regulations”) to amend the...
SEBI proposes new securities guidelines
In a recent meeting SEBI proposed certain amendments to securities laws in India. The changes are intended to realign the takeover norms with market developments and to bring various pieces of legislation governing Indian...
SEBI strengthens governance of capital issues
The Securities and Exchange Board of India (SEBI) has replaced the SEBI (Disclosure and Investor Protection) Guidelines, 2000 (the DIP guidelines) with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 (the ICDR...
SEBI clarifies rules for creeping acquisitions
On 26 August the Securities and Exchange Board of India (SEBI) issued informal guidance to Gulf Oil Corporation under the SEBI (Informal Guidance) Scheme, 2003.
Gulf Oil Corporation (the target) is an Indian-listed company. Gulf...
Cayman Islands Monetary Authority set to join SEBI’s circle of trust
Until recently the Cayman Islands Monetary Authority (CIMA) was not recognized by the International Organization for Securities Commissions (IOSCO) as an ordinary member. As a result, the Securities and Exchange Board of India (SEBI)...
SEBI amendments: Warranted and timely?
The Securities and Exchange Board of India (SEBI) through its amendments in December 2008 to the SEBI (Disclosure and Investor Protection) Guidelines, 2000, has permitted the introduction of certain financial instruments for companies to...
Amendments to SEBI takeover code to extend acquisition limit
With the stock market plummeting and stocks of even fundamentally strong blue chip companies sinking, the Securities and Exchange Board of India (SEBI) has relaxed the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations,...
SEBI redraws securities guidelines
On 28 August, SEBI amended the SEBI (Disclosure and Investor Protection) Guidelines, 2000.
For public issues, securities which have been acquired by shareholders or promoters during the preceding year, pursuant to a restructuring scheme approved...
Foreign VC funds may wish to register with SEBI
The Indian media are flooded daily with explosive figures earned by venture capital investors. Increasingly, new domestic and offshore funds are being formed with a specific India and industry focus. One avenue open to...
Consultation on move to regulate ‘finfluencers’
In a move to regulate the rapidly growing field of financial influencers, the Securities Exchange Board of India (SEBI) has issued a consultation paper proposing restrictions on the association of SEBI-registered intermediaries and regulated...
Delisting Roadblock?
Delisting shares under the proposed fixed-price mechanism could be a game changer, but retaining the 90% delisting threshold may derail its effectiveness, writes Freny Patel.
In line with global norms, India’s proposal to allow promoters...
Trilegal counsels Muthoot Finance on INR7bn NCD issuance
Trilegal advised Muthoot Finance on its Tranche II issue of non-convertible debentures (NCDs) raising INR7 billion (USD 84.12 million).
Muthoot Finance’s NCD deal marks one of the initial public issuances after the Securities and Exchange...
SMART ODR portal launches
The Securities and Exchange Board of India (SEBI) has introduced an online dispute resolution system to ease dispute settlements in the Indian securities market.
This platform, known as the SMART ODR portal – securities market...
Mandatory verification of market rumours
India’s top listed companies must investigate and correct market rumours within hours under new rules from the Securities and Exchange Board of India (SEBI).
The new Listing Obligations and Disclosure Requirements regulation 30(11) requires listed...
No green finance framework no sustainable development
India’s growing economy faces challenges from climate change and environmental degradation. Its target, under the Paris Agreement goal, of 450GW of renewable energy (RE) capacity by 2030 needs investment of USD30-40 billion annually. Transitioning...
Proposal to shorten IPO listing timelines
The Securities and Exchange Board of India (SEBI) has proposed reducing the time between initial public offerings and company share listings. Under the plan, the listing period would be shortened from six days to...
Regulating RE fractional ownership platforms
The Securities and Exchange Board of India (SEBI) is planning its next steps on proposed regulation for web-based platforms that offer fractional ownership of real estate assets. It aims to promote the development of...
A finance and technology GIFT to investors
The Gujarat International Finance Tec-City (GIFT City) was conceived as an International Financial Services Centre (IFSC), offering international connectivity and a business-friendly environment. It is the only greenfield smart city in India set up...
Fractional ownership – A piece of the action
Fractional ownership is a new buzz phrase in India's real estate market gaining popularity with retail investors looking for lucrative projects. Amit Aggarwal, a senior partner at SNG & Partners, and Devyani Dhawan, an...
The challenges of impact investment facing PE investors
Globally, private equity investors have been a driving force for economic growth, and have recently been adding responsible investments to their portfolios. This is driven by factors such as climate change, regulatory developments, and...
Expansion of QIB definition proposed
The Securities and Exchange Board of India (SEBI) has proposed to broaden the definition of qualified institutional buyer (QIB) for investing in debt securities.
According to the stock exchange regulator, the move will encourage participation...
Indian Law Firm Awards 2023
Recognising and rewarding exceptional legal work. Katherine Abraham reports
India’s legal industry is experiencing a surge in activity, driven by increased deal-flow and record-breaking IPOs. While the most recognised law firms continue to dominate on...
FDI into India through alternative investment platforms
Distributed ledger technology-driven alternative investment platforms (DLT platforms) contribute to the inclusive growth of an economy. They attract every level of society, from low and middle to high class. Traditionally, investments requiring large scale...
FPI onboarding process expedited
The Securities and Exchange Board of India (SEBI) has permitted authorised bank officials to use the Swift mechanism for certification of copies of original documents submitted by foreign portfolio investors (FPIs), “in order to...
Bombay High Court upholds pre-2013 put options
Option clauses are often included in shareholders’ agreements to protect investors and provide exit opportunities. While put options give shareholders the right to sell securities, call options give them the right to buy securities.
The...
Making sense of the promoter conundrum
During recent discussions with book running lead managers and other advisers, the Securities and Exchange Board of India (SEBI) indicated that, in an initial public offering of equity shares (IPO), it would categorise founders...
BRSR reporting proposals
The Securities and Exchange Board of India (SEBI) has proposed strengthening regulations on environmental, social and governance disclosures by listed entities to enhance their credibility.
In May 2021, SEBI named 1,000 listed companies to make...
New governance norms for trusts
The Securities and Exchange Board of India (SEBI) has announced governance norms for real estate investment trusts (REITs) and infrastructure investment trusts (InvITs), in line with those for listed companies. It follows the board’s...
Intermediaries accountable for laundering, terrorism financing
The Securities and Exchange Board of India (SEBI) has issued a circular stating that intermediaries – including brokers, mutual funds and portfolio managers – can be held accountable for any fraudulent activities committed by...
TCFD is not storm in a teacup
In 2017, the Task Force for Climate-related Financial Disclosures (TCFD) delivered to the Financial Stability Board of the Bank for International Settlements, a set of consistent, comparable and transparent guidelines for the financial disclosure...
Reaching happy compromise on AIF exit timelines
India’s growth story can be linked to the massive fund mobilisation through alternative investment funds (AIFs). These privately pooled investment vehicles raised INR6.95 trillion (USD86.81 billion) from Indian and overseas investors up to mid-2022...
Tech companies favoured in issue of DR shares
The principle of one share, one vote was the gold standard of corporate governance in the 20th century. However, more elaborate capital structures, involving shares with differential rights, have gained global popularity over the...
Poison pills give immunity from hostile takeovers
While the term takeover is not formally defined, the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 (takeover code), defines acquisition as “directly or indirectly, acquiring or agreeing to acquire shares or voting...
Deciding how material is an adverse event
The concepts of material adverse events (MAE) and material adverse changes (MAC) are widely incorporated into acquisition and investment documents. An MAE clause classically permits the acquirer to withdraw or walk away from a...
Stock regulator sets norms for submitting confidential DRHPS
The Securities and Exchange Board of India (SEBI) has introduced pre-filing or confidential filing or the draft red herring prospectus (DRHP) by companies planning to go public. At present, a company planning to list...
