SEBI Expert Committee proposes listing of Equity Shares of Companies incorporated in India on Foreign Stock Exchanges and Vice Versa

The Securities Exchange Board of India ( SEBI ) expert committee has proposed listing of Equity Shares of Companies incorporated in India on Foreign Stock Exchanges and Vice Versa.

SEBI constituted the ‘Expert Committee for listing of equity shares of companies incorporated in India on foreign stock exchanges and of companies incorporated outside India on Indian stock exchanges’ on June 12, 2018, with a view to facilitating companies incorporated in India to directly list their equity shares on foreign stock exchanges and companies incorporated outside India to list on Indian stock exchanges, in view, particularly, of the ongoing evolution and internationalization of capital markets across the globe.

The broad ‘Terms of Reference’ of the Committee were to –

a)Examine in detail the economic case for permitting direct listing of Indian companies overseas and vice versa;

b)Examine various legal, operational and regulatory constraints in facilitating companies incorporated in India to directly list their equity share capital abroad and vice versa; and

c)Make recommendations for a suitable framework in which to facilitate such direct listing.

The committee submitted its report to SEBI on December 4, 2018. A copy of the report can be found here.

Comments are sought from the public on the aforesaid report in the following format:

Comments may kindly be sent by email to Mr. Deep Mani Shah, DGM at deepmanis@sebi.gov.in, Mr. Anjan Patel, AGM at anjanp@sebi.gov.inand Mr. Prateek Arora, Manager at prateeka@sebi.gov.in no later than December 24, 2018.