Advertisement

HindustanTimes Fri,19 Sep 2014

SEBI notifies shareholding norms for exchanges

HT Correspondent, Hindustan Times  Mumbai, June 21, 2012
First Published: 21:22 IST(21/6/2012) | Last Updated: 21:24 IST(21/6/2012)

The Securities and Exchange Board of India (SEBI) on Thursday notified new norms for ownership and governance of stock exchanges and other market infrastructure institutions including at least 51% stake holding by public and a minimum networth of Rs. 100 crore.

Advertisement

No Indian entity, either individually or together with persons acting in concert, would be allowed to acquire or hold more than 5% directly or indirectly in a stock exchange, SEBI said.

However, stock exchanges, depositories, banks, insurance companies and public financial institutions from India can acquire or hold up to 15% stake.

Individual shareholding would be capped at 5% for all non-Indian entities without any exemptions, and their collective holding cannot exceed 49%. Out of this, the holding through the foreign direct investment (FDI) route would be capped at 26% and that through foreign institutional investors (FIIs) at 23%. No FII would be allowed to acquire shares of a recognised stock exchange otherwise than through the secondary market.


Advertisement
more from Business

Oracle's Ellison steps aside, co-CEOs Catz and Hurd take over

Larry Ellison, co-founder and leader of Oracle Corp for 37 years, stepped aside as chief executive officer on Thursday, to be replaced by co-CEOs Safra Catz and Mark Hurd, raising questions about a job-sharing arrangement that has had a fraught record elsewhere.
markets
Advertisement
Most Popular
Advertisement
Advertisement
Copyright © 2014 HT Media Limited. All Rights Reserved