AMENDMENT TO SEBI (DIP) GUIDELINES, 2000 - RIGHT ISSUE PROCESS

Securities and Exchange Board of India (SEBI) has reduced the time period taken for finalization of basis of allotment in the rights issues to 15 days from the earlier period of 42 days from the date of closure of the issue. In view of this, it has been decided to amend clause 8.19 of the SEBI (DIP) Guidelines 2000 to provide that the issuer company can utilize the issue proceeds only after the basis of allotment is finalized.