Leading stock exchange BSE today issued a detailed set of norms for independent valuers of companies that are listed on non-operational bourses, to facilitate exit of investors.
The move comes after Sebi allowed such companies to raise capital through preferential allotment route to meet listing requirements. Besides, the regulator issued a new framework to provide an exit mechanism to investors of such companies.
Exclusively listed companies (ELCs) of de-recognised, non-operational or exited stock exchanges opting to provide exit to investors are required to appoint an independent valuer from a panel of expert valuers of the designated stock exchange.
In a circular the exchange said, "Only Sebi registered active (not under suspension) Category I Merchant Bankers shall form panel of expert valuers of the designated stock exchange (BSE Ltd) to act as independent valuers for arriving at a fair value".
"BSE would have the right to carry out necessary changes, make additions to the broad framework, terms and conditions with or without giving any prior intimation to the independent valuers," it added.
The exchange would reserve the right to de-list the name of independent valuer at any stage, if found unsatisfactory or does not comply with the BSE's requirement.
In case, an independent valuer ceases to be Sebi registered Category I Merchant Bank, it would cease to be independent valuer with the Exchange as well.
It also said that active Sebi registered Category I Merchant Bankers desirous of forming panel of expert valuer of BSE Ltd for acting as independent valuers can make an application to the exchange in a prescribed format.
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