The strictest rules follow the steps of the recent revelations of alleged funds, the Malplantation of the Engineering of Gensol, which emigrated from the PyME of BSE to the main board of NSE in 2023 | Photo credit: KSL
The National Stock Exchange adjusted on Thursday the rules for small and medium enterprises that seek to migrate from its SME platform to the main board, ordering a minimum income of ₹ 100 million rupees in the previous financial year for the first time.
The exchange has also increased the threshold for capitalization of average capital to at least ₹ 100 million rupees of ₹ 25 million rupees before. He has also ordered the participation of the promoters and promoters of participation to maintain at least 20 percent at the time of the application, and should not fall below 50 percent of the shares in their can on the date of list on the date of said migration.
Compliance thrust
The strictest rules follow the steps of the recent revelations of alleged appropriate funds by the engineering of Gensol, which emigrated from the Pyme of BSE platform to the main board of the NSE in 2023. They also come only months after the region.
Now it will be required that small businesses have a positive operational gain for at least 3 financial years. The existing rules require a positive Ebitda in the previous three years and profits after the previous financial year. These new rules will enter into force as of May 1.
The total number of public shareholders has been reduced to 500 on the date of application for the current requirement of 1,000 public shareholders the last day of the previous quarter since the date of the application.
The mandate of the three -year listing period, the minimum net assets of ₹ 75 million rupees and the payment capital of at least 10 million rupees have remained unchanged. SMEs will continue to require a 60 -day cooling period from the date on which security has left any surveillance action for any exchange.
The company or promoter signing should not have procedures against them under the insolvency and bankruptcy code, or a request for liquidation admitted by NCLT/IBC. There should be no material regulatory actions against the company in the last three years.
Nor should there be breach in the payment of interest or main, there are no complaints of pending investors in the scores, and the SMEs, the promoter or subsidiary companies per Sebi are not allowed to degrade.
Posted on April 24, 2025