Issue of Shares
To issue shares, whether frequently or infrequently traded, a listed company must comply with the pricing regulations outlined in the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended up to May 23, 2023.
As part of this compliance, the company is required to obtain a valuation report from a Registered Valuer.
Issue of shares for Unlisted Companies
Compliance SEBI Regulations:
- SEBI Regulations are not applicable to Unlisted Companies. However, the issue of securities are guided by Companies Act 2013 and Income Tax Act 1961, in case of unlisted companies.
- Valuation Certificate requirement: There is no requirement under SEBI Regulations due to non-applicability of SEBI Regulations.
Issue of shares for Listed Companies
Compliance SEBI Regulations:
- Governed by SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended up to May 23, 2023.
- Valuation Certificate requirement: Valuation Report is mandated under applicable provisions from a Registered Valuer.
Key Points to Consider
01
Which is the governing law for Unlisted
Not Applicable
02
Which is the governing law for listed
SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018
03
Who does the Valuation
Registered Valuer
04
When valuation is required
At the time of the Issue of Securities
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