India Considers Stricter Rules for SME Public Offers
India's market regulator is planning stricter rules for small business public offers, including institutional investor quotas and higher profit requirements. The potential changes aim to address regulatory concerns and increase market transparency.
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India is weighing stricter regulations for small-company public offerings, including a 50% institutional investor quota and higher profit thresholds, people familiar with the matter said on Thursday. The potential overhaul follows regulatory warnings regarding the diversion of public funds and excessive investment banking fees in junior share sales. The reforms aim to curb governance risks as smaller firms increasingly tap public markets.
