Sebi eases VCF norms

The board also decided to reduce the limit on minimum offering from Rs 250 crore to Rs 100 crore but retained the existing limit of minimum public offer of two million securities, excluding reservations, firm allotment and promotersacirc;euro;trade; contribution.

Further, Sebi removed the restriction of minimum public issue size of Rs 25 crore in the case of an IPO through book building and allowed all companies to make issue through book building. However, if the track record criterion is satisfied, allocation to qualified institutional buyers QIBs can be less than 60. For MFs, the aggregate value of illiquid securities shall not exceed 15 of total assets of the scheme and any illiquid security held above 15 of total assets shall be assigned zero value. Under the new quantitative conditions for continuous listing, there will be a requirement for all listed companies to maintain a minimum level of non-promoter holding on a continuous basis as a condition for listing. All new companies shall be required to maintain on a continuous basis the non-promoter holding at the same level as applicable at the point of entry 8211; 10 or 25.