The Securities and Exchange Board of India has issued detailed guidelines on delisting of shares from stock exchanges stating that investors have to be given an exit option for which the price has be to determined in accordance with the book-building process.

A company may delist from the SE where its securities are listed provided that they have been listed for a minimum period of three years on any exchange, Sebi said on Monday.

These guidelines come at a time when many multinationals have made open offers to delist their scrips from exchanges.

Sebi said an exit opportunity need not be given in cases where shares continue to be listed in a stock exchange having nation-wide trading terminals such as The Bombay Stock Exchange and the National Stock Exchange.

When a company, which is listed on any stock exchanges other than those having nation-wide terminals seeks delisting, an exit offer should be made in accordance with Sebi's Delisting of Securities Guidelines 2003, which come into effect with immediate effect, it said.

There would not be any compulsion for existing company to remain listed on any stock exchange merely because it is a regional stock exchange.

Sebi also notified the establishment of Central Listing Authority to bring about uniformity in due diligence process for scrutinising listing applications.

Stock exchanges may delist companies, which have been suspended for a minimum period of six months for non-compliance with the Sebi's listing agreement, Sebi said, adding that relisting would be allowed only after two years.