Move seen as precursor to LIC IPO; 5% minimum public shareholding compulsory on IBC relisting
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IPO|LIC |market cap
Easier dilution norms for mega initial public offerings (IPOs) have come into effect. Companies with post-listing market capitalisation (m-cap) of more than Rs 1 trillion will not be required to dilute a minimum of 10 per cent. The move to relax dilution norms is seen as a precursor to Life Insurance Corporations IPO.
The central government has said companies with an m-cap exceeding Rs 1 trillion will have to dilute Rs 5,000 crore and at least 5 per cent of their m-cap.
Experts said the earlier framework discouraged large companies from listing since they were forced to offload a large volume of shares duri…
Read the full article at: https://www.business-standard.com/article/markets/easier-dilution-norms-for-large-ipos-where-post-listing-m-cap-tops-rs-1-trn-121062000460_1.html
