Listing and Delisting
AN ASSIGNMENT ON
“LISTING & DELISTING OF SECURITIES TO A STOCK EXCHANGE IN INDIA”
CONTENTS
1. INTRODUCTION………………………………………………………....1 2. LISTING………...………………………………………………………….2 3. DELISTING………………………………………………………………..6 4. CONCLUSION……………………………………………………………13
iii Gujarat National Law University
CHAPTER 1 INTRODUCTION
This assignment deals with the legal aspect, i.e. Laws, rules, regulations and by-laws, of listing and delisting of securities in Stock Exchanges by Public Limited Companies in India. The Securities and Exchange Board of India is the regulator for the securities market in India. It was established on 12 April 1992 through the SEBI Act, 1992. It regulates the stock exchanges, amongst which major three are, BSE, formerly known as Bombay Stock Exchange Ltd., Established in 1875, is Asia’s first Stock Exchange and one of India’s leading exchange groups. Over the past 137 years, BSE has facilitated the growth of the Indian corporate sector by providing it an efficient capital-raising platform. Other are NSE and recently formed MCX Stock Exchange Ltd. There are various other local state level stock exchange recognized by Law in India. The second chapter of this assignment deals with listing of securities and the Act, regulations, guidelines related thereto. It also deals in details with the documents and compliances which are essential for a company before getting it enlisted in the Stock exchange. It further contains relevant provisions of The Companies Act, SEBI Guidelines as well as stock exchange guidelines. Similarly, the third chapter talks about the provisions regarding the delisting of securities, their types, the method deployed as prescribed in Act, The SEBI (Delisting of Securities) Guidelines2003 & 2009 and other regulations relating therto. Finally in the last chapter the researcher tries to conclude by looking into the present day scenario, its implications, possible loopholes and recommendation with regards to all the
“LISTING & DELISTING OF SECURITIES TO A STOCK EXCHANGE IN INDIA”
CONTENTS
1. INTRODUCTION………………………………………………………....1 2. LISTING………...………………………………………………………….2 3. DELISTING………………………………………………………………..6 4. CONCLUSION……………………………………………………………13
iii Gujarat National Law University
CHAPTER 1 INTRODUCTION
This assignment deals with the legal aspect, i.e. Laws, rules, regulations and by-laws, of listing and delisting of securities in Stock Exchanges by Public Limited Companies in India. The Securities and Exchange Board of India is the regulator for the securities market in India. It was established on 12 April 1992 through the SEBI Act, 1992. It regulates the stock exchanges, amongst which major three are, BSE, formerly known as Bombay Stock Exchange Ltd., Established in 1875, is Asia’s first Stock Exchange and one of India’s leading exchange groups. Over the past 137 years, BSE has facilitated the growth of the Indian corporate sector by providing it an efficient capital-raising platform. Other are NSE and recently formed MCX Stock Exchange Ltd. There are various other local state level stock exchange recognized by Law in India. The second chapter of this assignment deals with listing of securities and the Act, regulations, guidelines related thereto. It also deals in details with the documents and compliances which are essential for a company before getting it enlisted in the Stock exchange. It further contains relevant provisions of The Companies Act, SEBI Guidelines as well as stock exchange guidelines. Similarly, the third chapter talks about the provisions regarding the delisting of securities, their types, the method deployed as prescribed in Act, The SEBI (Delisting of Securities) Guidelines2003 & 2009 and other regulations relating therto. Finally in the last chapter the researcher tries to conclude by looking into the present day scenario, its implications, possible loopholes and recommendation with regards to all the