Sebi grants exemptions for delisting of Pagita Leasing and Finance Company

Regulator Sebi has granted certain exemptions to Pagita Leasing and Finance Company Ltd for voluntary delisting of its equity shares.

In its application for delisting, the company submitted that 99.96 per cent stake is held by the promoter group and the rest is held by an individual.

Pagita Leasing, which is listed on the BSE, was suspended by the exchange back in 2002.

Sebi, in its order passed on Monday, said that in case of the applicant company, almost 100 per cent of the equity is with the promoters and there are effectively no public shareholders.

The company should make a public announcement about the delisting and also write to the individual holding the shares to tender the same.

While allowing relaxations Sebi said, "...applying in full the processes/requirements contemplated in the Delisting Regulations on the applicant company, whose shareholding pattern has remained unchanged since 2002 and has practically no public shareholders, would be onerous and contrived".

In case the individual expresses his desire to exit, the company should provide an exit opportunity to him. In this regard, the firm should take up a valuation exercise to provide exit to the said public shareholder, the order said.

"Thereafter, the applicant company shall approach the stock exchange for guidance and the exchange shall do the needful to allow the company to get delisted," it noted.

Further, Sebi said the exercise of delisting should be completed within six months from the date of the order.