Page 164 - Sebi

Sebi allows exchanges to launch future contracts on corporate bond indices

In order to enhance liquidity in the bond market and to provide opportunity to the investors to hedge their positions, Sebi on Tuesday allowed stock exchanges to launch future contracts on corporate bond indices. The index should composed of corporate debt securities, constituents of the index should have adequate liquidity and diversification at issuer level and the constituents of the index should be periodically reviewed, Sebi said in a circular. Further, single issuer should not have more than 15 per cent weight in the index, there should be at least 8 issuers in the index, and the index should not have more than 25 per cent weight in a particular group of issuers (excluding securities issued by public sector undertakings, public financial institutions and public sector banks). "The value of the Cash Settled Corporate Bond Index Futures (CBIF) contracts shall not be less than Rs 2 lakh at the time of introduction," Sebi said. The stock exchanges may introduce contracts of up to

Bourses get Sebi's approval to launch derivatives on bond indices

Sebi's decision is aimed at enhancing liquidity in the bond market. It will also give an opportunity to investors to hedge their positions

Cyient DLM files preliminary papers worth Rs 740 cr with Sebi through IPO

Electronic Manufacturing Services (EMS) firm Cyient DLM Ltd has filed preliminary papers with capital markets regulator Sebi to raise Rs 740 crore through an Initial Public Offering (IPO). The initial share-sale is purely a fresh issue of equity share with no Offer-For-Sale (OFS) component, according to the Draft Red Herring Prospectus (DRHP). The company may consider issuance of securities aggregating up to Rs 148 crore in a pre-IPO placement round. Funds raised through the IPO would be utilised for funding incremental capital requirements, capital expenditure, debt payment, achieving inorganic growth through acquisitions as well as for general corporate purposes. Cyient DLM, a subsidiary of Cyient, is the leading integrated EMS and solutions provider with a focus on the entire life cycle of a product, including design, build and maintenance. It has three state manufacturing facilities in Hyderabad, Bengaluru and Mysore. The India EMS is a sizable industry, contributing to 2.2 pe

Municipal bond fund-raising trebles in 5 years; over Rs 6,000 cr mopped up

Total amount raised crossed Rs 6,000 crore since inception in 2022

Sebi clarifies on mode of payment for settlement of trades on RFQ platform

Capital markets regulator Sebi on Monday said payment mechanisms provided by banks and payment aggregators can be used for settlement of trades in the debt securities executed on the request for quote (RFQ) platform of stock exchanges. This is in addition to the existing payment mechanism of Real-Time Gross Settlement (RTGS) provided by banks, the Securities and Exchange Board of India (Sebi) said in a circular. As a matter of practice, presently, stock exchanges are using RTGS channel as a mode of settlement for trades executed on the RFQ platform with respect to listed corporate bonds, commercial paper, and securitised debt instruments. The clarification came after stock exchanges and market participants sought clarification as to whether payment mechanisms other than RTGS provided by banks or payment aggregators can be permitted for settlement of trades executed on the RFQ platform. "It is clarified that in addition to the existing payment mechanisms, payment mechanisms provided

Sebi to extend trading hours in case of outage at stock exchanges

In case normalcy is not restored till 2:15 pm, trading hours will be extended till 5:00 pm

JG Chemicals files preliminary papers with Sebi; to raise funds via IPO

Zinc oxide manufacturer JG Chemicals has filed preliminary papers with capital markets regulator Sebi to raise funds through an initial public offering (IPO). The IPO comprises fresh issue of equity shares worth up to Rs 202.50 crore and an offer-for-sale (OFS) of 57 lakh equity shares by its existing promoter group shareholders, according to its draft red herring prospectus(DRHP). As part of the OFS, Vision Projects & Finvest Pvt Ltd will sell 36.40 lakh shares, Suresh Kumar Jhunjhunwala (HUF) will offload 12.70 lakh shares, Anirudh Jhunjhunwala (HUF) will divest 6.50 lakh shares and Jayanti Commercial Ltd will offer 1.40 lakh equity shares. The firm may consider a pre-IPO placement of equity shares aggregating to Rs 40 crore or a secondary sale of 28.50 lakh equity shares by its selling shareholders or a combination thereof. If such placement is undertaken then the fresh issue size or offer-for-sale portion will be reduced. Proceeds from the fresh issue will be used for ...

Sebi proposes standard approach for valuation of AIF investments

The capital market regulator has also recommended appointment of independent valuers, specifically for unlisted entities

Sebi permits AMCs to provide advisory services to all FPIs at IFSC

Markets regulator Sebi on Friday permitted asset management companies (AMCs) to provide management and advisory services to all FPIs operating from International Financial Services Centres (IFSCs). This is subject to certain conditions, including that such Foreign Portfolio Investors (FPI) will be allowed to invest in mutual fund schemes other than the schemes in the category of "thematic", the Securities and Exchange Board of India (Sebi) said in a circular. For investment in equity and equity derivative securities listed on recognised stock exchanges in India, the FPIs will not be allowed to take contra-position for six months from the date of purchase or sale of such securities, it said. It has been decided that AMCs may also provide management and advisory services to FPIs operating from IFSC and regulated by International Financial Services Centres Authority (IFSCA) not falling under the categories of FPIs specified by Sebi in its circular issued in December 2019, Sebi said. T

Sebi nod to reclassify govt holding in IDBI Bank as 'public' after sale

But govt must ensure its voting rights in bank don't exceed 15% after sale

Time till Jan-end for entering details of non-convertible securities: Sebi

Capital markets regulator Sebi on Thursday extended the timeline till January-end for entering the details of existing outstanding non-convertible securities in the security and covenant monitoring system hosted by depositories. Earlier, this was to be complied by October 31, 2022. This is the second time Securities and Exchange Board of India (Sebi) has extended the deadline to comply with the rules. Earlier, the deadline was September 2022, which was extended to October 2022. The regulator, in August 2021, asked depositories to use blockchain technology to record and monitor security creation as well as covenants of non-convertible securities. The extension comes after Sebi received representations from debenture trustees (DTs), which cited operational or technical difficulties in entering details and sought extension of timeline for verifying the entries made by issuer. "Accordingly, it has been decided that for existing outstanding non-convertible securities, issuers shall ens

Sebi issues debt broker license to Zerodha-backed GoldenPi Technologies

The Securities and Exchange Board of India (Sebi) has issued a debt broker license to Bengaluru-based fintech firm GoldenPi Technologies. With the development, GoldenPi became the first online bond platform provider to receive a debt brokerage license from Sebi. Last year, the regulator introduced regulations for online debt trading platforms which stated that no company or individual shall act as an online bond platform provider without the certificate of registration as a stock broker under the SEBI Regulations, 2021. The awarding of the license by Sebi to GoldenPi is expected to work as a catalyst for greater investor trust in the online bonds and debentures investment space, the company said in a release. "We are extremely delighted to have received the license and are confident that this would incentivise more investors to invest in the debt market with utmost trust," said Abhijit Roy, CEO and co-founder, GoldenPi. Incorporated in 2017, the Zerodha-backed company currently of

Sebi extends relaxation on dispatching hard copies of financial statements

Sebi's extension comes after Ministry of Corporate Affairs has also provided similar relaxations to companies dispatching physical copies of financial statements

Sebi allows govt stake in IDBI Bank to be reclassified as public post sale

The government, with a more than 45% stake in IDBI Bank, is currently classified as a co-promoter of the lender

Sebi bans 4 entities from market for unauthorised advisory services

Capital Markets regulator Sebi on Tuesday barred four entities from the securities markets for providing unauthorised investment advisory services without the regulator's authorisation. The regulator has restrained PNP Shareon Solutions, its proprietor Pradeep Haldar, PNP Solutions and its proprietor Prakash Haldar from securities markets for six months. PNP Shareon Solutions, PNP Solutions, Pradeep and Prakash Haldar are collectively referred to as noticees. The present proceedings emanate from a show cause notice issued to noticees by the regulator in August 2021. In its final order, Sebi found that noticees were engaged in providing investment advisory services without obtaining a certificate from Sebi as an investment adviser, thereby violating IA (Investment Advisers) rules. The total amount of money collected by the noticees is Rs 60.49 lakh from September 2017 to June 2020. Sebi has directed the noticees to refund jointly and severally within three months, the money receiv

Sebi issues demand notice to Singh brothers in fund diversion case

Failure to pay the fines could lead to attachment and sale of properties

Sebi returns OYO's draft IPO papers, asks to refile with certain updates

Capital markets regulator Sebi has asked Oravel Stays Ltd, the parent company of travel-tech firm OYO, to refile the draft IPO papers with certain updates. The move might delay the Gurugram-based hospitality unicorn's initial public offering (IPO). OYO filed preliminary documents with the Securities and Exchange Board of India (Sebi) in September 2021 for a Rs 8,430 crore IPO. The proposed offering consists of a fresh issue of shares of up to Rs 7,000 crore and an offer-for-sale of as much as Rs 1,430 crore. According to an update with Sebi's website on Tuesday, the markets regulator returned the company's draft red herring prospectus (DRHP) on December 30, 2022 and asked the firm to refile it with applicable updates/ revisions. However, the regulator has not elaborated on the updates or revisions required in the draft documents. Earlier, the company had filed an addendum to its DRHP which included its financials for the first half of FY23. It reported a profit of Rs 63 crore for

State-run firms to remain exempt from public shareholding norms: Govt

The exemptions from the MPS norm will be valid for a "specified period" even if there is a change in ownership or control after the exemption is granted, the notification said

Rishabh Instruments files draft papers with Sebi to mobilise funds via IPO

Rishabh Instruments, a global energy efficiency solution company, has filed preliminary papers with markets regulator Sebi to mop-up funds through an initial public offering (IPO). The IPO comprises a fresh issue of equity shares aggregating to up to Rs 75 crore and an offer for sale (OFS) for up to 94.17 lakh equity shares by its promoter group shareholders and an existing investor, according to its draft red herring prospectus (DRHP). Under the OFS, Asha Narendra Goliya will offload 25 lakh equity shares, Narendra Rishabh Goliya (HUF) will sell 5.17 lakh shares, Rishabh Narendra Goliya will dispose of 4 lakh shares and SACEF Holdings II will sell 60 lakh equity shares in the company. Going by the draft papers, the firm may explore a pre-IPO placement aggregating to Rs 15 crore. If such a placement is undertaken, the size of the fresh issue will be reduced. Proceeds from the issue worth Rs 59.50 crore will be utilised towards financing the expansion of its manufacturing facility i

Zomato co-founder, chief technology officer Gunjan Patidar resigns

His exit is the latest in a string of high-profile resignations in recent times