JM Financial share falls 8% after SEBI decision on new debt issues: Details - Hindustan Times
close_game
close_game

JM Financial share price falls 8% after SEBI's decision on new debt issues: Details

Mar 11, 2024 11:22 AM IST

JM Financial share price: SEBI said that JM Financial may continue to act as a lead manager for public issue of debt securities for a period of 60 days

JM Financial share price: JM Financial shares fell 8 per cent on March 11 after the Securities and Exchange Board (SEBI) barred the company from taking any new mandate for acting as a lead manager for any public issue of debt securities. Although, SEBI said that JM Financial may continue to act as a lead manager for public issue of debt securities for a period of 60 days. Citing material based on record, the capital markets regulator said that the investigation into the matter would be completed in six months.

JM Financial share price: JM Financial share price fell 8 per cent. Here's why
JM Financial share price: JM Financial share price fell 8 per cent. Here's why

Read more: Tata Chemicals shares fall 10% after last week's rally. Here's why there has been a U-turn

There has been an investigation into the roles of parent company and merchant banker JM Financial's wholly-owned subsidiary and broker JM Financial Services and subsidiary as well as a non-banking financial corporation JM Financial Products in a debt issue.

Now catch your favourite game on Crickit. Anytime Anywhere. Find out how

Read more: HDFC Bank share price falls 1.16% after CLSA downgrades stock: What's happening?

Earlier, the Reserve Bank of India (RBI) stopped JM Financial Products from giving loans against shares and debentures. This included sanction and disbursal of loans against initial public offering of shares with immediate effect, the central bank said.

Read more: IndiGo founder Rakesh Gangwal's $795 million block sale: Effect on share prices

The RBI said that the action was taken after observing certain serious deficiencies in the firm's loan process as it said that were concerns on the governance issues in the company apart from violation of regulatory guidelines.

Since March 5, shares of JM Financial have fallen more than 8 per cent to 87.7 apiece on the NSE.

Elevate your career with VIT’s MBA programme that has been designed by its acclaimed faculty & stands out as a beacon for working professionals. Explore now!

See more

Get latest updates on Petrol Price along with Gold Rate , Today Weather and Budget 2024 at Hindustan Times.

SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Monday, June 17, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On