INDIA: Stakeholder consultation on stock exchanges for India substantial acquisition rules

Monday May 23 2011

It is being reported that the government of India is consulting with stakeholders on amendments to rules on stock exchanges for India substantial acquisition rules. The Securities and Exchange Board of India initiated the drive for reform in January 2010 by establishing a committee for review of ownership and governance norms for market infrastructure institutions such as stock exchanges and the panel submitted its report to the regulator in November last year. Sebi had made the recommendations public on 23 November 2010 and invited public comments on the same until 31 December; however the government is now consulting a panel on changes in the way stock exchanges are owned and function, and the possibility of capping their profitability and prohibiting listing, to safeguard their front-line regulatory role.

This information will be updated as further details become available.