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Sebi plans tougher pricing norms for startup IPOs amid share meltdown

Proposes disclosure of relevant KPIs made before pre-IPO investors

Sebi
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The move comes amid a meltdown in shares of such companies amid hawkish pivot by the US Federal Reserve and other central banks.

Samie Modak Mumbai
The Securities and Exchange Board of India (Sebi) on Friday proposed to seek more justification and transparency from new-age technology companies when it comes to pricing their share in initial public offerings (IPOs).

If the raft of proposals floated by the market regulator in a discussion paper is approved, companies will have to provide a relatively detailed explanation of how they have priced their issue, compare that to pre-IPO share sales, and also disclose all the presentations made to pre-IPO investors.

The move comes following a meltdown in shares of such companies amid a hawkish pivot by the US Federal Reserve and

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First Published: Feb 18 2022 | 7:12 PM IST

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