Sebi extends validity of observations for launching IPOs, rights issue up to March 31

Mumbai: The Securities and Exchange Board of India (Sebi) has extended the validity of its observations for launching initial public offerings(IPO) and rights issue expiring between October and March up to March 31,2021.

The regulator said the lead manger to the issue has to given an undertaking that the company is in compliance with Sebi norms on disclosure norms while submitted the updated offer document to it.

At present , rules mandate issuers to launch an IPO or rights issue within a year from the date of Sebi approval.

The regulator said the new rules will be effective from October 1.

Sebi has also extended the relaxation on revision of issue size upto 50 % till March 31.