BSE eases listing norms

MUMBAI, MAY 13: In its move to encourage smaller companies to get listed on the country8217;s premier stock exchange, the Bombay Stock Exchange BSE has decided to allow direct listing of companies having issued capital of Rs 3 crore to Rs 10 crore.

With this, companies having minimum capital of Rs 3 crore and listed at the any recognised stock exchanges can now seek listing at BSE, its president Anand Rathi told reporters here today. While allowing direct listing of such companies the BSE, however, has put up a criteria that company should have profit-making track record for at least three years, minimum market capitalisation should be Rs 20 crore, based on average price of last six months, the number of days traded during last six complete months should be minimum 50 per cent of the total trading days during the same months on any stock exchange, minimum average volume traded per day during the last three complete months should be 500 shares and minimum 5 trades per day and minimum 25 per cent of the company8217;s issued capital should be with public inclusive of bodies corporate and minimum 15 shareholders per Rs 1 lakh of capital in the public category.

The BSE has also decided to institute three annual awards for most investor friendly companies.

Talking to reporters here today, BSE president Anand Rathi said that a committee comprising of the governing board members of the BSE has been constituted to look into the modalities of instituting the awards and to oversee its implementation.

While considering the awards the committee would look into three main objectives that the company had given well return to the investors during the year, co-operation to the investors and the implementation of corporate governance.