Sebi proposes overhaul of investment banking norms
Business Standard|August 29, 2024
10x hike in net worth, more clarity on roles, responsibilities mooted
- SAMIE MODAK
Sebi proposes overhaul of investment banking norms

The Securities and Exchange Board of India (Sebi) has proposed an overhaul of investment banking regulations amid a boom in the equity capital market (ECM).

In a consultation paper floated on Wednesday, the regulator has proposed a 10 time-hike in the net worth and provided more clarity on the roles and responsibilities of investment bankers - known as merchant bankers in regulatory parlance.

At present, there are over 200 registered merchant bankers in the country, which help companies launch an initial public offering (IPO) or a listed entity raise additional funds via qualified institutional placements or offer for sale. The current net worth requirement for merchant bankers is ₹5 crore, which was last hiked in 1992 from 1 crore.

The regulator has now proposed to have two categories of investment banks based on their net worth of at least 10 crore will fall under the Category 2 not be allowed to handle main board issues.

この蚘事は Business Standard の August 29, 2024 版に掲茉されおいたす。

7 日間の Magzter GOLD 無料トラむアルを開始しお、䜕千もの厳遞されたプレミアム ストヌリヌ、9,000 以䞊の雑誌や新聞にアクセスしおください。

この蚘事は Business Standard の August 29, 2024 版に掲茉されおいたす。

7 日間の Magzter GOLD 無料トラむアルを開始しお、䜕千もの厳遞されたプレミアム ストヌリヌ、9,000 以䞊の雑誌や新聞にアクセスしおください。

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