Sebi defines 'same line of business' under delisting rules: Details here

Sebi on Tuesday put in place a standard operating procedure for subsidiary companies planning to get delisted through a 'Scheme of Arrangement' wherein the listed holding companies and the listed subsidiaries are in the same line of business.

There are numerous listed companies which have listed subsidiaries engaged in the same line of business, and equity shares of both entities are actively traded on stock exchanges.

Both the listed holding company and the listed subsidiary can attain significant synergies by working together.

Defining the 'same line of business', Sebi said at least 50 per cent of revenue from the operations of the listed