Current Context: The Securities Exchange Board of India (SEBI) has amended regulation (3) in sub-regulation (2) of SEBI-Substantial Acquisition of Shares and Takeovers regulations, 2011 (SEBI-SAST) in order to enhance acquisition limit of promoters.
- This amendment will be termed as SEBI-SAST Amendment Regulations, 2020.
- As per this amendment, the promoters who are owning 25% or more shares or voting rights in a company can increase their shareholding up to 10% in a year. Earlier an increase of 5% was allowed.
- SEBI has also relaxed the condition of the time gap between two qualified institutional placements (QIPs) from 6 months to 2 weeks.
- Static Part:
- HQ of SEBI: Mumbai
- Chairman of SEBI: Ajay Tyagi
Question:
Q.1 As per SEBI’s recent amendment promoters who are owning 25% or more shares or voting rights in a company can increase their shareholding up to ____% in a year?
a. 20%
b. 10%
c. 25%
d. 5%
a. 20%
b. 10%
c. 25%
d. 5%
