Sebi enhances Asba's reach

In order to enhance the reach and acceptance of Application Supported by Blocked Amount (Asba), Sebi has said syndicate and sub-syndicate members can procure Asba forms from investors and submit the same to banks. “It has been decided that syndicate/sub-syndicate members may procure Asba forms from investors and submit it to self-certified syndicate banks,” said the Sebi circular.

The syndicate/sub-syndicate members would also be entitled to commission for Asba forms procured by them in the same manner as non-Asba forms, it added. Meanwhile, banks will be entitled to per form processing fee for Asba forms. Merchant bankers have been directed to ensure that an appropriate disclosure is made in the offer document specifying the range of fee that banks will be entitled to for processing such forms procured by syndicate members/sub-syndicate members and submitted to them.