Premium
This is an archive article published on August 10, 2010

State-run companies exempted from 25 float norm

The government today exempted state-run companies from the mandatory requirement of raising the public shareholding to 25 per cent...

google-preferred-btn

The government today exempted state-run companies from the mandatory requirement of raising the public shareholding to 25 per cent and said such firms will now have to reach public shareholding of 10 per cent within three years for remaining listed on bourses.

The move comes after strong criticism of the governments earlier notification in June,which made it mandatory for all listed companies to raise public holding to at least 25 per cent,with a minimum of at least 5 per cent stake every year by promoters till it reaches the threshold.

Experts had expressed fear that the notification would lead to flooding of stock markets with new shares. However,in just two months,the government has diluted the norms for public sector enterprises.

The main feature of the amendment is that the minimum requirement of public shareholding for all PSEs is lowered to 10 per cent. A listed public sector company which has a public shareholding below 10 per cent on the date of commencement of the Securities Contracts Regulation Second Amendment Rules,2010 shall increase its public shareholding to at least 10 per cent within a period of three years, the finance ministry today said in a revised notification.

However,private listed companies will have to increase their public shareholding up to 25 per cent within a period of three years.

 

Latest Comment
Post Comment
Read Comments
Advertisement
Live Blog
PHOTOS
In pics: From concept supercars to electronic SUV's: Bharat Mobility Global Expo 2025 was all about innovation
In Pics: From Concept Supercars to Electric SUVs – Innovation at Bharat Mobility Global Expo 2025
Top Stories
UP govt had opposed key claim of Akhlaq murder accused, now cites same to withdraw case against them
UP govt had opposed key claim of Akhlaq murder accused, now cites same to withdraw case against them
‘Disturbing public order’ accounts for 50% of takedown notices to X
‘Disturbing public order’ accounts for 50% of takedown notices to X
Looking Back at 2025 dhurandhar, Chhaava, homebound n
Shubhra Gupta looks back at 2025: The year of Dhurandhar, marked by heightened nationalism, and the return of Spoilt Man Child
When Mohanlal and Priyadarshan announced that they were joining forces yet again and that too for an epic historical movie like Kaalapani, expectations were sky-high.
Mohanlal and Priyadarshan's most expensive film won 3 National Awards before release, but grossed less than half its budget
The Canadian man also noted that Indiranagar is still relatively better off than many other areas (Image source: @caleb_friesen/Instagram)
Canadian living in India criticises Bengaluru footpath, shares video of his son navigating broken pavement: ‘Sad and scary'
According to the driver, the men refused to pay for professional cleaning and offered him only S$10 as compensation
Indian passengers vomit in Singapore cab, make driver clean up: ‘smell of undigested curry and alcohol’
Hikaru Nakamura Interview
Hikaru Nakamura interview: 'Studying chess 10 hours a day is nonsense... it's outdated'
BCCI increases domestic match fee for women cricketers
BCCI increases domestic match fee for women cricketers
`The Indian use of the English language has afforded India global prominence. It is, after all, also an Indian language.
Not English, neglect of rich bhashas is the problem
Bangladesh
A bird’s eye view of the violence in Bangladesh: Who stands to gain, who loses
One of the most important shifts this year has been how ageing is understood not just as an inevitable biological decline, but as something profoundly influenced by behavioural choices throughout life. 
Why 2025 was the year we finally talked honestly about ageing
Tech layoffs in 2025
Tech layoffs in 2025: How AI emerged as a clear(er) driver of job cuts
Advertisement
Must Read
Hikaru Nakamura interview: 'Studying chess 10 hours a day is nonsense... it's outdated'
Hikaru Nakamura Interview
BCCI increases domestic match fee for women cricketers
BCCI increases domestic match fee for women cricketers
Suryakumar Yadav, Shivam Dube set to play two Vijay Hazare Trophy matches for Mumbai
Suryakumar
Tech layoffs in 2025: How AI emerged as a clear(er) driver of job cuts
Tech layoffs in 2025
Is your smartphone infected with malware? What to do and how to remove it
malware
OpenAI adds new controls to ChatGPT: How to adjust warmth, enthusiasm levels
ChatGPT
Why 2025 was the year we finally talked honestly about ageing
One of the most important shifts this year has been how ageing is understood not just as an inevitable biological decline, but as something profoundly influenced by behavioural choices throughout life. 
Advertisement
Buzzing Now
Canadian living in India criticises Bengaluru footpath, shares video of his son navigating broken pavement: ‘Sad and scary'
The Canadian man also noted that Indiranagar is still relatively better off than many other areas (Image source: @caleb_friesen/Instagram)
Indian passengers vomit in Singapore cab, make driver clean up: ‘smell of undigested curry and alcohol’
According to the driver, the men refused to pay for professional cleaning and offered him only S$10 as compensation
Woman finds Christian Louboutin purse worth Rs 1.4 lakh while picking up garbage in wealthy neighbourhood; video goes viral
In the viral video, she expresses her curiosity as she spots several items near the trash bins
As Chillai Kalan turns Kashmir white, breathtaking videos of snow-laden Gulmarg emerge: Watch the best clips here
As the Valley turned into a winter wonderland like every year, several videos capturing breathtaking sights from Gulmarg and other areas emerged on the Internet
Elderly women bikers complete high-altitude rise to Nathula Pass, share challenging experience in video: 'history in motion'
Throughout the expedition, the women braved harsh terrain, extreme weather, physical exhaustion, and the demands of riding at high altitude
Dec 23: Latest News
Advertisement