Home India Securities and Exchange Board of India In exercise of the powers conferred under section 30 of the ...
Date: 2020-07-01 Category: Extra Ordinary State: Union Government Country: India

In exercise of the powers conferred under section 30 of the Securities and Exchange Board of India Act,

Issued by Securities and Exchange Board of India · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: This document contains the Securities and Exchange Board of India (SEBI) Issue of Capital and Disclosure Requirements Third Amendment Regulations, 2020. It introduces an optional pricing method for preferential issues of frequently traded shares, effective from the date of publication in the Official Gazette until December 31, 2020. The regulations amend the Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Regulations, 2018. Key Points / Main Content: Amendment Regulations * The regulations are called the Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Third Amendment Regulations, 2020. * The regulations come into force on the date of their publication in the Official Gazette. * The regulations amend the Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Regulations, 2018. Optional Pricing in Preferential Issue (Regulation 164B) * In the case of frequently traded shares, the price of equity shares allotted through preferential issue shall be determined by regulation 164 or 164B, as opted for. * The price of equity shares allotted through preferential issue shall not be less than the higher of: * The average of the weekly high and low of the volume-weighted average price during the twelve weeks preceding the relevant date. * The average of the weekly high and low of the volume-weighted average prices during the two weeks preceding the relevant date. * Specified securities allotted on a preferential basis using the pricing method determined under sub regulation 2 shall be locked-in for a period of three years. * The pricing method determined at subregulation 2 shall be availed in case of allotment by preferential issue made between July 01, 2020 or from the date of notification of this regulation, whichever is later and December 31, 2020. * All allotments arising out of the same shareholders approval shall follow the same pricing method. Impact Analysis: Issuers of Frequently Traded Shares: * Impact: Have the option to use a new pricing method for preferential issues, potentially affecting the issue price and subsequent lock-in period. * Action Required: Evaluate whether to utilize the optional pricing method for preferential issues made before December 31, 2020, and ensure compliance with the lock-in period requirements. Securities and Exchange Board of India (SEBI): * Impact: Responsible for enforcing the amended regulations. * Action Required: Monitor compliance with the new regulations and address any violations. Investors: * Impact: May be affected by the pricing of preferential issues and the associated lock-in periods. * Action Required: Understand the implications of the new pricing method on their investments.

Key Entities Referenced

Securities and Exchange Board of India (SEBI): Regulatory body in India for securities and commodity market. Securities and Exchange Board of India Act, 1992: The Act of the Parliament of India that established the Securities and Exchange Board of India (SEBI). Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Regulations, 2018: Regulations pertaining to the issuance of capital and disclosure requirements as governed by SEBI. Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Third Amendment Regulations, 2020: Amendment to the Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Regulations, 2018. Mumbai, Maharashtra: City in Maharashtra, India; mentioned as the location of the notification. Official Gazette: Official government publication where regulations are published. Ajay Tyagi: Chairman of the Securities and Exchange Board of India (SEBI). Preferential Issue: Allotment of shares or convertible securities by a company to a select group of investors.
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रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99 सी.जी.-एम.एच.-अ.-09072020-220435 xxxGIDHxxx CG-MH-E-09072020-220435 xxxGIDExxx असाधारण EXTRAORDINARY भाग III—खण् ड 4 PART III—Section 4 प्राजधकार स ेप्रकाजित PUBLISHED BY AUTHORITY स.ं 245] िई, कदल्ली, बुधिार, िुलाई, 1, 2020/आषाढ़ 10, 1942 No. 245] NEW DELHI, WEDNESDAY, JULY 1, 2020/ASHADHA 10, 1942 भारतीय प्रजतभजू त और जिजिमय बोडड अजधसचू िा मुम् बई, 1 िुलाई, 2020 [पिूूँ ी का जिगमड ि (इश्य)ू और प्रकटीकरण अपक्षे ाएूँ] (तीसरा संिोधि) जिजियम, 2020 स.ं सबे ी/एल.ए.डी.-एि.आर.ओ./िी.एि./2020/21.—बोडड, भारतीय प्रजतभूजत और जिजिमय बोडड अजधजियम, 1992 (1992 का 15) की धारा 30 के तहत प्रदत्त िजियों का प्रयोग करत े हुए एतद्द्वारा भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाएूँ] जिजियम, 2018 का और संिोधि करि े के जलए जिम्नजलजखत जिजियम बिाता ह,ै अर्ातड :् - 1. इि जिजियमों को भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपक्षे ाएूँ] (तीसरा संिोधि) जिजियम, 2020 कहा िा सकेगा । 2. िे रािपत्र में उिके प्रकािि की तारीख को प्रिृत्त (लाग)ू होंगे । 3. भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपक्षे ाएूँ] जिजियम, 2018 म,ें- I. जिजियम 164क के पश्चात,् जिम्नजलजखत िया जिजियम अंतःस्ट्र्ाजपत ककया िाएगा, अर्ाडत,् - 2936 GI/2020 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4] “अजधमािी जिगमड (प्रफे रेंजियल इश्य)ू के सबं धं म ेंकीमत-जिधारड ण का जिकल्प 164ख. (1) बारंबार व्यापातरत िेयरों के मामल े म,ें अजधमािी जिगडम (प्रेफरेंजियल इश्य)ू के अिुसरण म ें आबंतटत (अलॉट) ककए िािे िाल े इकिटी िेयरों की कीमत जिजियम 164 या जिजियम 164ख (िो भी जिकल्प के तौर पर चिु ा िाए) के अिुसार तय की िाएगी । (2) अजधमािी जिगडम (प्रेफरेंजियल इश्य)ू के अिुसरण म ें आबंतटत ककए िाि े िाल े इकिटी िेयरों की कीमत उससे कम िहीं होगी, िो जिम्नजलजखत म ेंसे अजधक हो: (क) सुसंगत तारीख से पहले के बारह सप्ताहों के दौराि मान्यताप्राप्त स्ट्टॉक एक्सचेंि में संबंजधत इकिटी िेयरों की मात्रा भातरत औसत कीमत (िॉल्यूम िेटेड एिरेि प्राइस) की उच्चतम और न्यूितम साप्ताजहक कीमतों का औसत; या (ख) सुसंगत तारीख से पहले के दो सप्ताहों के दौराि मान्यताप्राप्त स्ट्टॉक एक्सचेंि में संबंजधत इकिटी िेयरों की मात्रा भातरत औसत कीमतों (िॉल्यूम िेटेड एिरेि प्राइस) की उच्चतम और न्यूितम साप्ताजहक कीमतों का औसत । (3) उप-जिजियम (2) के तहत दी हुई, कीमत-जिधाडरण की पद्धजत अपिाकर अजधमािी आधार पर आबंतटत (अलॉट) की गई, जिधाडतरत प्रजतभूजतयाूँ (जसक्यूतरटीज़) तीि िषों की अिजध तक रुद्ध (लॉक-इि) रहगें ी । (4) उप-जिजियम (2) के तहत दी हुई, कीमत-जिधाडरण की पद्धजत 1 िुलाई,, 2020, या इस जिजियम के अजधसूजचत होिे की तारीख स,े िो भी बाद म ें आए, और 31 कदसम्बर, 2020 के बीच लाए िािे िाल े अजधमािी जिगडम (प्रेफरेंजियल इश्यू) के माध्यम से ककए िाि ेिाले आबंटि के मामले में अपिाई, िाएगी । (5) िेयरधारकों से ली गई, एक ही मंिूरी के तहत ककए िाि े िाले सभी आबंटिों (अलॉटमेंट) के संबंध म ें कीमत-जिधाडरण की एक ही पद्धजत अपिाई, िाएगी ।” अिय त्यागी, अध्यक्ष [जिज्ञापि-III@4@असा.@105@2020-21] पाद तटप्पण: 1. भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्यू) और प्रकटीकरण अपक्षे ाएूँ] जिजियम, 2018, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ./िी.एि./2018/31 द्वारा, 11 जसतम्बर 2018 को भारत के रािपत्र में प्रकाजित हुए र् े। 2. भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्यू) और प्रकटीकरण अपक्षे ाएूँ] जिजियम, 2018 तत्पश्चात् - (क) 31 कदसम्बर, 2018 को भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाए]ूँ (संिोधि) जिजियम, 2018, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ./िी.एि./2018/57, द्वारा (ख) 29 माच,ड 2019 को भारतीय प्रजतभूजत और जिजिमय बोड ड [पूूँिी का जिगडमि (इश्यू) और प्रकटीकरण अपेक्षाए]ूँ (संिोधि) जिजियम, 2019, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ./िी.एि./2019/05, द्वारा[भाग III—खण् ड 4] भारत का रािपत्र : असाधारण 3 (ग) 5 अप्रलै , 2019 को भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाए]ूँ (दसू रा संिोधि) जिजियम, 2019, अजधसूचिा स.ं सेबी/एल.ए.डी.-एि.आर.ओ./ िी.एि./ 2019/08, द्वारा (घ) 29 िुलाई,, 2019 को भारतीय प्रजतभूजत और जिजिमय बोड ड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाए]ूँ (तीसरा संिोधि) जिजियम, 2019, अजधसूचिा सं. सेबी/एलएडी-एिआरओ/ िीएि /2019/29, द्वारा (ङ) 23 जसतम्बर, 2019 को भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाए]ूँ (चौर्ा संिोधि) जिजियम, 2019, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ./ िी.एि./2019/35, द्वारा (च) 6 कदसम्बर, 2019 को भारतीय प्रजतभूजत और जिजिमय बोड ड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाए]ूँ (पाूँचिाूँ संिोधि) जिजियम, 2019, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ. /िी.एि./2019/42, द्वारा (छ) 26 कदसम्बर, 2019 को भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाए]ूँ (छठा संिोधि) जिजियम, 2019, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ./ िी.एि./2019/47, द्वारा (ि) 1 िििरी, 2020 को भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्यू) और प्रकटीकरण अपेक्षाए]ूँ (सातिाूँ संिोधि) जिजियम, 2019, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ./ िी.एि./2020/01, द्वारा (झ) 8 मई,, 2020 को भारतीय प्रजतभूजत और जिजिमय बोड ड (फीस का भुगताि) (संिोधि) जिजियम, 2020, अजधसूचिा स.ं सेबी/एलएडी-एिआरओ/िीएि/2020/011, द्वारा (ञ) 17 अप्रलै , 2020 को भारतीय प्रजतभूजत और जिजिमय बोडड (रेग्यूलेटरी सैंडबॉक्स) (संिोधि) जिजियम, 2020, स.ं सेबी/एल.ए.डी.-एिआरओ/िीएि/2020/10, द्वारा (ट) 16 िूि, 2020 को भारतीय प्रजतभूजत और जिजिमय बोडड [पूूँिी का जिगडमि (इश्य)ू और प्रकटीकरण अपेक्षाए]ूँ (संिोधि) जिजियम, 2020, अजधसूचिा सं. सेबी/एल.ए.डी.-एि.आर.ओ./िी.एि./2020/17, द्वारा (ठ) 22 िूि, 2020 को भारतीय प्रजतभूजत और जिजिमय बोड ड [पूूँिी का जिगडमि (इश्यू) और प्रकटीकरण अपेक्षाए]ूँ (दसू रा संिोधि) जिजियम, 2020, अजधसूचिा स.ं सेबी/एल.ए.डी.-एि.आर.ओ./ िी.एि./ 2020/18, द्वारा संिोजधत हुए र्े ।4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4] SECURITIES AND EXCHANGE BOARD OF INDIA NOTIFICATION Mumbai, the 1st July, 2020 SECURITIES AND EXCHANGE BOARD OF INDIA (ISSUE OF CAPITAL AND DISCLOSURE REQUIREMENTS) (THIRD AMENDMENT) REGULATIONS, 2020 No. SEBI/LAD-NRO/GN/2020/21.—In exercise of the powers conferred under section 30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following Regulations to further amend the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, namely:- 1. These regulations may be called the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Third Amendment) Regulations, 2020. 2. They shall come into force on the date of their publication in the Official Gazette. 3. In the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018,- I. After regulation 164 A, the following new regulation shall be inserted, namely,- “Optional pricing in preferential issue 164B. (1) In case of frequently traded shares, the price of the equity shares to be allotted pursuant to the preferential issue shall be determined by regulation 164 or regulation 164B, as opted for. (2) The price of the equity shares to be allotted pursuant to the preferential issue shall not be less than the higher of the following: (a) the average of the weekly high and low of the volume weighted average price of the related equity shares quoted on the recognised stock exchange during the twelve weeks preceding the relevant date; or (b) the average of the weekly high and low of the volume weighted average prices of the related equity shares quoted on a recognised stock exchange during the two weeks preceding the relevant date. (3) Specified securities allotted on a preferential basis using the pricing method determined under sub- regulation (2) shall be locked-in for a period of three years. (4) The pricing method determined at sub-regulation (2) shall be availed in case of allotment by preferential issue made between July 01, 2020 or from the date of notification of this regulation, whichever is later and December 31, 2020. (5) All allotments arising out of the same shareholders approval shall follow the same pricing method.” AJAY TYAGI, CHAIRMAN [ADVT-III/4/Exty./105/2020-21] Footnotes: 1. The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018 was published in the Gazette of India on September 11, 2018, vide notification No. SEBI/LAD-NRO/GN/2018/31. 2. The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018 was subsequently amended on - (a) December 31, 2018 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Amendment) Regulations, 2018, vide notification No. SEBI/LAD-NRO/ GN/2018/57. (b) March 29, 2019 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Amendment) Regulations, 2019, vide notification No. SEBI/LAD-NRO/ GN/ 2019/05.[भाग III—खण् ड 4] भारत का रािपत्र : असाधारण 5 (c) April 5, 2019 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2019, vide notification No. SEBI/LAD-NRO/ GN/2019/08. (d) July 29, 2019 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Third Amendment) Regulations, 2019, vide notification No. SEBI/LAD-NRO/ GN/2019/29. (e) September 23, 2019 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Fourth Amendment) Regulations, 2019, vide notification No. SEBI/LAD- NRO/GN/2019/35. (f) December 06, 2019 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Fifth Amendment) Regulations, 2019, vide notification No. SEBI/LAD-NRO/ GN/2019/42. (g) December 26, 2019 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Sixth Amendment) Regulations, 2019, vide notification No. SEBI/LAD-NRO/ GN/2019/47. (h) January 01, 2020 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Seventh Amendment) Regulations, 2019, vide notification No. SEBI/LAD-NRO/ GN/2020/01. (i) May 08, 2020 by the Securities and Exchange Board of India (Payment of Fees) (Amendment) Regulations, 2020, vide notification No. SEBI/LAD-NRO/GN/2020/11. (j) April 17, 2020 by the Securities and Exchange Board of India (Regulatory Sandbox) (Amendment) Regulations, 2020 vide notification No. SEBI/LAD-NRO/GN/2020/10. (k) June 16, 2020 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Amendment) Regulations, 2020, vide notification No. SEBI/LAD-NRO/ GN/2020/17. (l) June 22, 2020 by the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Second Amendment) Regulations, 2020, vide notification No. SEBI/LAD-NRO/ GN/2020/18. Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054.

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