Business

Sebi Speeding Up IPO listing time from 6 days to 3 days

Market regulator Sebi recently proposed to speed up the listing process for shares on stock exchanges after initial public offerings (IPOs) are completed. The current six-day listing period would be shortened to just three days, which is expected to be advantageous for both issuers and investors. According to Sebi’s consultation paper, the timelines will get reduced, allowing issuers to access capital raised more quickly and improving business efficiency. Investors will additionally have the chance to get early credit and liquidity for their investments.

Sebi made the Application Supported by Blocked Amount (ASBA) system and the Unified Payment Interface (UPI) available to retail investors in November 2018. At that time, Sebi also established a listing timeline of six days (known as T+6) after the conclusion of an IPO, with “T” standing for the day the issue was closed. Sebi has made significant efforts over the past few years to improve systemic processes across all significant stakeholders in the IPO ecosystem. These initiatives have made it possible to shorten listing timelines from T+6 to T+3.

Also Read: Indian Government Plans Action Against Google; Know Why

The time between the date of issue closure and the date of share listing through public offerings should be cut short, according to Sebi’s consultation paper. The listing timeline would be shortened under the proposed change from the current six days to three days (T+3) Sebi has requested public feedback on this proposal until June 3 in order to compile it. All parties involved in the IPO process, including stock exchanges, sponsor banks, the National Payments Corporation of India (NPCI), depositories, and registrars, conducted extensive back-testing and simulations prior to Sebi’s action. These tests aimed to determine the viability and impact of various crucial public offering-related activities.

Also Read: 21 May 2023: Petrol And Diesel Price Remains Unchanged Today, Check Rates Here

Malika Sahni

Recent Posts

PM Modi Announces Sending Lord Buddha’s Relics To Thailand

PM Modi announced that India will send relics of Lord Buddha, discovered in Gujarat’s Aravalli…

5 hours ago

PM Modi Shares Highlights From Bangkok: A Vibrant Welcome, Community Connect, & The Ramayan!

Prime Minister Narendra Modi highlighted the deep cultural ties between India and Thailand during his…

5 hours ago

Judicial Strength At Risk, Says Delhi HC Bar Association On Justice Singh’s Transfer

The Delhi High Court Bar Association has raised concerns over Justice Chandra Dhari Singh’s transfer…

6 hours ago

PM Modi: Thailand Key To India’s ‘Act East’ Policy & Indo-Pacific Vision

Prime Minister Narendra Modi, during his visit to Bangkok, highlighted Thailand's strategic importance in India's…

6 hours ago

Thailand Releases Commemorative Stamp Showcasing 18th-Century Ramayan Murals During PM Modi’s Visit

Thailand unveiled a commemorative stamp featuring 18th-century Ramayan mural paintings, marking the first day of…

6 hours ago

Centuries-Old Bonds Strengthen As India-Thailand Deepen Partnership: PM Modi

PM Modi and Thai PM Paetongtarn Shinawatra elevate India-Thailand ties to a strategic partnership in…

6 hours ago