In a statement, the finance ministry on Wednesday said unlisted companies, which had filed for overseas issues before August 31, will be exempted from prior or simultaneously listing their shares in domestic market.
However, these companies have to list their shares in Indian capital market by December, 2005. For the listed companies, the revised pricing guidelines will not apply if they had filed for overseas issues by last month.
The listed companies have to come out with their overseas issue by December 31, 2005. For both listed and unlisted companies will get the exemptions if they have undertaken "verifiable effective steps" for overseas listing.
Firms must list locally before going overseas
The exemption from the stringent GDR/FCCB norms will be applicable for the companies which had completed due diligence and filed offering circular in the overseas exchange.
It will be also applicable for the companies, which have obtained approval from overseas exchanges or paid the listing fees or obtained RBI approval for meeting issue-related expenses.
The ministry also clarified that private placement of issues, where no offering circular was placed before the overseas exchanges, would not qualify for the exemptions.
All other conditions including eligibility of issuer and eligibility of subscriber will still be applicable to all companies.
© 2025