SEBI vide Circular dated May 6, 2020, granted one time relaxations from strict enforcement of certain regulations of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, pertaining to Rights Issue opening upto July 31, 2020.
Based on the representations received from the market participants, the validity of these relaxations was further extended for Rights Issues opening up to December 31, 2020, vide SEBI dated July 24, 2020.
The relaxation mentioned in point (iv) of the SEBI Circular dated May 6, 2020, was further extended for Rights Issues opening up to March 31, 2021, vide SEBI Circular dated January 19, 2021
To ease and facilitate investors, the relaxation mentioned in point (iv) of the SEBI Circular dated May 6, 2020, is further extended and shall be applicable for Rights Issues opening up to September 30, 2021, provided that the issuer along with the Lead Manager(s) shall continue to comply with point (v) of the SEBI Circular dated May 06, 2020.
In respect to mechanism and compliance requirements at point (iv) and (v) of the SEBI Circular dated May 6, 2020, the issuer along with Lead Manager(s), Registrar, and other recognized intermediaries (as incorporated in the mechanism) shall also ensure the following
a. Refund for un-allotted / partial allotted application shall be completed on or before T+1 day (T: Basis of allotment day). b. Registrar to the issue, shall ensure that all data with respect to refund instructions is error free to avoid any technical rejections. Further, in case of any technical rejection of refund instruction, same shall be addressed promptly.
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