SEBI has in exercise of the powers conferred under Section 30 of the SEBI Act, 1992 (15 of 1992), made the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Amendment) Regulations, 2018 to further amend the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, w.e.f. 31-12-2018.
- The Explanation to Regulation 253 has been omitted;
- Regulation 253 has been re-numbered as sub-regulation (1) thereof and after sub-regulation (1) so numbered, the following sub-regulation has been inserted, i.e.,
“(2) In an issue made other than through the book building process, the allocation in the net offer category shall be made as follows:
(a) minimum fifty per cent. to retail individual investors; and
(b) remaining to:
(i) individual applicants other than retail individual investors; and
(ii) other investors including corporate bodies or institutions, irrespective of the number of specified securities applied for;
Provided that the unsubscribed portion in either of the categories specified in clauses (a) or (b) may be allocated to applicants in the other category.
Explanation. – For the purpose of sub-regulation (2), if the retail individual investor category is entitled to more than 50% of the issue size on a proportionate basis, the retail individual investors shall be allocated that higher percentage.”
- in Schedule XVI, in Clause (1), for sub-clause (f), the following sub-clause has be substituted, i.e.,
“(f) Any Increase or Decrease:
(i) In case of a fresh issue: any increase or decrease in estimated issue size by more than twenty per cent. of the estimated issue size; or
(ii) In case of an offer for sale: any increase or decrease in either the number of shares offered for sale or the estimated issue size, by more than 50%; or
(iii) In case of an issue comprising of both fresh issue and offer for sale: the respective limits as above shall apply.”