Sebi allows Madras Stock Exchange to exit bourse biz

Capital market regulator Sebi today allowed the Madras Stock Exchange (MSE) to exit the stock bourse business.
It has become the 14th stock exchange to be allowed by Sebi to exit the capital markets space.
Others include OTC Exchange, Cochin Stock Exchange, Ludhiana Stock Exchange, Gauhati Stock Exchange, Bhubaneswar Stock Exchange, Hyderabad Securities and Enterprise, Coimbatore Stock Exchange, Inter-connected Stock Exchange and Bangalore Stock Exchange.
In its latest exit order, the Securities and Exchange Board of India (Sebi) said Chennai-based MSE has complied with the regulator's conditions for exit and is therefore "a fit case to allow exit" from capital markets.

The market watchdog said the MSE had made payment of necessary dues to the regulator, including 10 per cent of the listing fee and the annual regulatory fee.
"From the valuation report and undertaking of the MSE, it is observed that all the known liabilities have been brought out and that there is no other future liability that is known as on date," Sebi said in its order.

Allowing the exit to the MSE, Sebi has asked the bourse to change its name and not to use the expression "stock exchange" or any variant of this expression in its name and to avoid any representation of present or past affiliation with the stock exchange, in all media, among others.

The Madras Stock Exchange, in May last year, had made a request to Sebi to exit as bourse.
As per Sebi norms, a stock exchange, whose annual trading turnover on its platform is less than Rs 1,000 crore, can apply for voluntary surrender of recognition and exit, while a bourse which fails to achieve a turnover of Rs 1,000 crore, would be subject to compulsory exit process.