Procedures for ensuring compliance with Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2012 (SECC Regulations) by Listed Stock Exchanges vide Circular No. CIR/MRD/DSA/01/2016
- Regulation 45 of the SECC Regulations provides for listing of stock exchanges. As per Regulation 45(2) of the SECC Regulations, the Board may specify such conditions as it may deem fit in the interest of the securities market.
- Accordingly, the following modalities have been prescribed so as to ensure compliance with the provisions of SECC Regulations.
- Ensuring holding of 51% by public at all times by the listed stock exchange.
- Ensuring that all shareholders are fit and proper
- Ensuring that shareholders holding shares above 2 % are fit and proper.
- Ensuring shareholding threshold of 5 % or 15% as the case may be in terms of SECC Regulations.
SEBI vide Circular no. CIR/CFD/POLICYCELL/11/2015 dated November 10, 2015, issued operational details to, inter-alia, reduce the time taken for listing after the closure of the issue to 06 working days and enhancing the points of submission of applications by the investors. With an endeavor to make the public issue process more efficient and robust, in discussion with market participants, SEBI has issued clarifications on various matters.
February 8, 2016