In a move to help the management of companies intending to bring out their public offer, the board of Securities Exchange Board of India (Sebi) on Thursday decided to reduce Initial Public Offering (IPO) price announcement time to two days from five working days.
The decision by the regulator will help the the companies to discover a better price after factoring in volatility in the global markets which can have a direct impact on market sentiments and prices, according to experts.
The market regulator also revised share buyback regulation.
"The new regulations are again aimed at simplifying language, removing redundancies, bringing them in line with Companies Act provisions and buyback period has been properly defined with a view to have clarity for the issuers and the shareholders,” said Sebi chairman Ajay Tyagi.
The board also decided to make shareholding limit of foreign investors unilateral across market institutions.
The regulator is also widening the investment limit for anchor investors.
It is doing away with sub-broker category and will replace it with authorised persons, said Tyagi, adding that sub-brokers can migrate to the new category.
On the ICICI Bank case, Tyagi said, he was yet to receive reply from the lender on the allegations involving its CEO Chanda Kochhar.
The regulator and exchanges have initiated independent investigation into the alleged leak of a list of stocks ahead of their being placed under the additional surveillance measure (ASM), he said.