Sebi Panel Moots Mandatory Debt Rating
The primary market advisory group of the Securities and Exchange Board of India (Sebi) has recommended that any debt instrument must receive at least an investment grade rating.
Irrespective of the issue size, the issuer company should have two credit ratings and it should not feature on the list of wilful defaulters of the Reserve Bank of India.
The company should not be in default of any public debentures in terms of either interest or principal, the group said. The debentures should be fully secured and should have at least 50 allottees.
The group has also recommended that the requirement of 20 per cent promoters