No relook on new delisting norms: SEBI

India's market regulator Saturday ruled out any relook on its new delisting norms and said the new rules would make promoters reach out to the investors.

Speaking to reporters here, Securities and Exchange Board of India (SEBI) chairman U.K.Sinha ruled out chances of reviewing the new delisting norms approved by the board recently.

As per the new norms, delisting of shares from the bourses shall be considered successful only when (a) the shareholding of the acquirer together with the shares tendered by public shareholders reaches 90 percent of the company's total share capital and (b) if at least 25 percent of the number of public shareholders, holding shares in dematerialised mode as on the date of the board meeting which approves the delisting proposal, tender in the reverse book building process.

The offer price, determined through Reverse Book Building, shall be the price at which the shareholding of the promoter, after including the shareholding of the public shareholders who have tendered their shares, reaches the threshold limit of 90 percent.

The new regulations also prohibit the promoter or promoters from making a delisting offer if any entity belonging to the said group has sold shares of the company during a period of six months prior to the date of the board meeting which approves the delisting proposal.

Sinha told reporters after inaugurating the new investor service centre of Bombay Stock Exchange, the new norms is expected to incentivise the promoters to make an honest attempt to reach out to the shareholders.