Dear All,
In a Notification dated 26th December, 2019 the Securities and Exchange Board of India (“SEBI”) has issued the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) (Fifth Amendment) Regulations, 2019 (“Amendment Regulations”) in order to amend the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Principal Regulations”).
These Regulations have become effective from 26th December 2019.
A detailed analysis with implications is mentioned in the table below:
| Principal Regulations | Amendment Regulations | Implications |
| Regulation 34: Annual Report:
(…)
(2) …. (f) for the top five hundred listed entities based on market capitalization (calculated as on March 31 of every financial year), business responsibility report describing the initiatives taken by them from an environmental, social and governance perspective, in the format as specified by the Board from time to time:
Provided that listed entities other than top five hundred listed companies based on market capitalization and listed entities which have listed their specified securities on SME Exchange, may include these business responsibility reports on a voluntary basis in the format as specified |
Regulation 34: Annual Report:
(…)
(2) …. (f) for the top one thousand listed entities based on market capitalization (calculated as on March 31 of every financial year), business responsibility report describing the initiatives taken by them from an environmental, social and governance perspective, in the format as specified by the Board from time to time:
Provided that listed entities other than top one thousand listed companies based on market capitalization and listed entities which have listed their specified securities on SME Exchange, may include these business responsibility reports on a voluntary basis in the format as specified |
As per the provisions of the Companies Act, 2013, a listed entity is mandated submit an Annual Report to the Stock Exchange within 21 working days of it being approved and adopted in the Annual General Meeting.
Earlier, it was mandatory for top 500 listed entities to submit, as a part of their Annual Report, a business responsibility report describing the initiatives taken by them from an environmental, social and governance perspective. Now, the threshold has been increased and such report must be submitted by to 1000 listed entities.
|
| Regulation 42: Record Date or Date of closure of transfer books :
(…)
(2) The listed entity shall give notice in advance of at least seven working days (excluding the date of intimation and the record date) to stock exchange(s) of record date specifying the purpose of the record date. |
Regulation 42: Record Date or Date of closure of transfer books :
(…)
(2) The listed entity shall give notice in advance of at least seven working days (excluding the date of intimation and the record date) to stock exchange(s) of record date specifying the purpose of the record date.
Provided that in the case of rights issues, the listed entity shall give notice in advance of at least three working days (excluding the date of intimation and the record Date) |
With the Amendment Regulations coming into force, in case of rights issues, a listed entity is now mandated to give a Notice to the Stock Exchange in advance of three working.
However, the three working days will be counted excluding the date of intimation and the record Date. |
Source: Securities and Exchange Board of India
