Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2021 w.e.f. 10th June 2021.
Â
These regulations apply to delisting of equity shares of a company including equity shares having superior voting rights from all or any of the recognised stock exchanges where such shares are listed.
Â
However, the regulation shall not apply to delisting of equity shares of a listed company listed and traded on the innovators growth platform of a recognised stock exchange without making a public issue and delisting made pursuant to a resolution plan approved under section 31 of the Insolvency Code subject to specified conditions.
Â
Companies are not permitted delisting of equity shares unless a period of three years has elapsed since the listing of that class of equity shares on any recognised stock exchange subject to other conditions.
Â
The Regulations also provide for conditions and procedure for voluntary delisting where exit opportunity is required and also where exit opportunity is not required.
Â
The Regulations also provide for Compulsory delisting by a recognised stock exchange on any ground prescribed in the rules made under the Securities Contracts (Regulation) Act, 1956.
Â
Delisting of equity shares of small companies- Equity shares of a company may be delisted from all the recognised stock exchanges where they are listed, without following the exit procedure. However the company inter alia should not have a paid up capital exceeding ten crore rupees and net worth not exceeding twenty five crore rupees as on the last date of preceding financial year.
Â
The Regulations inter alia provide for delisting of equity shares of a subsidiary company pursuant to a scheme of arrangement and delisting in case of winding up of a company and de-recognition of a stock exchange.
Â
Download SEBI Regulations Click Here >>
- Form 26 to replace Form 3CD of tax audit report by a CA from Tax Year 2026-27
- When no addition is made on the basis of reasons recorded, reopening is bad in law
- No separate compensation for loss of love and affection under MV Act – SC
- Trust accredited by National Open School eligible for registration u/s 12AB & u/s 80G
- Delay in furnishing Form 10B – Covid Period to be excluded as per decision of Supreme Court
 Regulations 2021 – Scope and applicability){kind=link}