SEBI mulls reducing rights issue listing time
After reducing time to list shares on the stock exchanges post-closure of initial public offerings (IPOs), markets regulator SEBI is aiming to cut down the time for listing of rights issue shares, an official said.
In September last year, the Securities and Exchange Board of India (SEBI) decided on reducing the time to list shares on the bourses after IPO to 3 days from the present 6.
The SEBI directive is likely to come into effect from July this year.
SEBI had cited mitigating external risks such as market volatility and uncertainty of financial markets as the reason behind the move.
"SEBI aims to reduce the listing of IPO shares to 3 days from 6 days now. It is supposed to be introduced for IPOs from July 2019 onwards. Now, the regulator is working on simplifying the rights issue process," Central Depository Services (India) Ltd (CDSL) VP (operations) Nitin Ambure told PTI.
"I hope the number of days for listing the rights issue shares may come down to 8-10 days from .