Reduction in the timeline for listing of debt securities and Non-convertible Redeemable Preference Shares to T+3 working days from existing T + 6 working days
Summary
SEBI reduces the listing timeline for public issues of debt securities and NCRPS from T+6 to T+3 working days. This reduction is introduced as an optional mechanism for one year starting November 1, 2024, becoming mandatory thereafter. The circular also updates the regulatory framework regarding refund timelines and interest liabilities during the voluntary adoption period.
Text
listing of debt securities and Non-convertible Redeemable Preference Shares (NCRPS) issued through public issue process shall be completed within T+6 working days from the date of closure of the issue.
In the event of failure to list such securities within such days from the date of closure of issue as may be specified by the Board (scheduled listing date), all application moneys received or blocked in the public issue shall be refunded or unblocked forthwith within two working days from the scheduled listing date... For delay in refund/unblocking of funds beyond the timeline as specified above, the issuer shall be liable to pay interest at the rate of fifteen percent per annum to the investors from the scheduled listing date till the date of actual payment.
it has been decided to reduce the listing timeline in case of public issue of debt securities and NCRPS to T+3 working days from existing timeline of T+6 working days.
the listing timeline of T+3 working days is introduced as an option to issuers for a period of one year and on a permanent basis thereafter such that all listings occur on a T+3 basis.
during the period of voluntary applicability of the listing timeline of T+3 working days, the provisions of regulation 37 (2) of NCS Regulations shall become applicable only after T+6 working day, even in cases where issuer has chosen T+3 as the listing timeline but fails to meet the same.
The T+3 timeline for listing shall be appropriately disclosed in the Offer Documents of public issues.
On voluntary basis to public issues of debt securities and NCRPS opening on or after November 01, 2024.
Mandatory for public issues of debt securities and NCRPS opening on or after November 01, 2025.
Stock Exchanges shall monitor compliance with the provisions of this circular.
Stock exchange(s) shall allow modification of selected fields in the bid details already uploaded From issue opening date to up to 5 pm on T day
SCSBs to send confirmation of funds blocked (final certificate) to the registrar Before 7:30 PM on T day for Direct ASBA and Syndicate ASBA; Before 9:30 pm on T day for UPI ASBA
Registrar shall reconcile the compiled data received from the stock exchange(s) and all SCSBs... Finalization of technical rejection... The allotment in the public issue of securities should be made on the basis of date of upload of each application into the electronic book of the stock exchange... Registrar shall finalise the basis of allotment and submit it to the designated stock exchange for approval.
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Source: SecMarx — Reduction in the timeline for listing of debt securities and Non-convertible Redeemable Preference Shares to T+3 working days from existing T + 6 working days. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.