The board of the Securities and Exchange Board of India (SEBI) will meet on Monday to consider giving more teeth to retail investors at the time of initial public offerings and during takeovers of the listed companies — by way of allowing them a larger pie when companies go public and a better price when they get acquired.
The market regulator will consider the final guidelines after taking into account public comments for draft guidelines floated on these issues.
SEBI would consider in the meeting the final form of the new Takeover Code, which among other changes proposes to bring in retail shareholders at par with promoters in terms of price received in M&A deals.
The board is also likely to consider final approval to the recently proposed draft guidelines on enhancing the purchasing power of retail investors in IPOs. It has proposed to raise the ceiling for retail investors to R2 lakh in IPOs from the current Rone lakh.