Why Indian promoters are no longer rushing to delist

Indian companies are delisting from stock exchanges at a slower pace, with only 12 voluntary delistings in FY25, the lowest in over a decade. Buoyant market valuations and tighter pricing rules have made share buybacks more expensive for promoters. According to Anand Lakra, partner at JSA Advocates and Solicitors, high market valuations are a major deterrent, as promoters are expected to offer significant premiums above already-elevated share prices to buy back public shares. Regulatory changes, including the introduction of the adjusted book value method, have further increased the floor price for delisting, making it financially burdensome for promoters. Read Article