Sebi to relax start-up net worth norms, allow listing on SME platform

Move follows failure of ITP to attract start-ups; many have raised money from PE investors and have much higher networth to qualify for the platform

Market regulator Securities and Exchange Board of India (Sebi) is planning to allow start-ups to list on the small and medium enterprises (SME) platform of the stock exchanges. Sources say start-ups will be given special relaxations on the SME platform in terms of net worth requirements and profitability. The move comes after Indian stock exchanges in coordination with Sebi held several discussions with both the industry participants and to come up with a new framework for start-up listing. The move comes after Institutional trading platform (ITP), a special segment for listing of new-age companies, failed to take-off.

Sources say the