Sebi proposes easing pre-IPO lock-in rules

REGULATOR ALSO PITCHES FOR SIMPLER DISCLOSURE FORMAT

- FE BUREAU

THE SECURITIES & Exchange Board of India (Sebi) on Thursday proposed relaxing lock-in requirements for existing shareholders to address long-stand-ing challenges with regard to pre-IPO pledged shares.The regulator has also proposed replacing the abridged prospectus with a simplified document summary.The moves are aimed at boosting retail participation in the booming IPO market.

In a consultation paper, Sebi has proposed enacting these changes by amending the Issue of Capital and Disclosure Requirements (ICDR) Regulations, 2018.