SEBI proposes smaller floats for big firms

The Securities and Exchange Board of India (SEBI) on Monday proposed relaxing the minimum public offer requirements for very large companies and also extended the timelines for them to meet the minimum public shareholding (MPS) norms. According to the proposed framework, instead of adhering to a fixed high percentage, large issuers will have the flexibility to start with smaller IPOs and gradually meet shareholding requirements over a longer period. The relaxations will reduce the minimum threshold of shares to be sold to the public and reduce stake dilution pressure for the issuers. Read Article