SEBI tightens call public sale norms for IPO and relisted scrips

Updated - June 20, 2024 at 09:15 PM.

SEBI modifies call public sale norms for IPOs and relisted scrips to stop false put a question to and price manipulation

Securities and Change Board of India (SEBI)

Securities and Change Board of India (SEBI)

Securities and Change Board of India (SEBI) has modified norms associated to call public sale session for IPO and relisted scrips.

At some stage within the decision public sale in pre-originate session for optimistic IPO and relisted scrips, the regulator chanced on that orders possess been placed at elevated designate in sizable volumes and famous fragment of such orders possess been cancelled merely sooner than the closure of call public sale session. This may perhaps perchance well possess created false put a question to and provide and seemingly manipulating the designate of the scrips to the detriment of frequent traders, SEBI talked about in a spherical.

As per recent norms, the session will seemingly be for 60 minutes, from 9:00 am to 10:00 am, out of which Forty five minutes will seemingly be allowed for uncover entry, uncover modification and uncover cancellation and 10 minutes for uncover matching and replace confirmation. The session will shut randomly all the device via final 10 minutes of uncover entry.

The stock exchanges will generate signals per reasonably about a parameters — for occasion, if the cancelled amount for a explicit client exceeds 5 per cent of total cancelled amount at some stage within the marketplace all the device via the pre-originate session. Stock exchanges will find clarification from clients for cancellations or changes all the device via the pre-originate session. The amount and amount of cancelled orders will seemingly be displayed on replace and member net sites on an genuine time basis.

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