Sebi reduces minimum issue size for social stock exchange to Rs 50 lakh
Social Stock Exchange, markets regulator Sebi on Saturday announced that it has reduced the minimum issue size to Rs 50 lakh from Rs 1 crore in case of public issuance of Zero Coupon Zero Principal Instruments (ZCZP).
It has also cut the minimum application size in case of public issuance of ZCZP by NPOs on SSE from Rs 2 lakh to Rs 10,000, thereby enabling wider participation of subscribers including retail.
At the end of a board meeting, Sebi said it has also permitted NPOs to disclose past social impact report in the fundraising document as per their existing practice subject to disclosure of key parameters such as number of beneficiaries, cost per beneficiary and administrative overhead.
«More entities (NPOs) to be made eligible for registration and fundraising through issuance and listing of ZCZP on SSE by permitting entities registered under section 10(23C) and 10(46) of the Income Tax Act, 1961,» Sebi said.
The regulator has also approved creation of a regulatory framework for the facilitation of Small & Medium REITs, with an asset value of at least Rs 50 crore vis-à-vis minimum asset value of Rs 500 crore for existing REITs.
«SM REITs shall have the ability to create separate scheme(s) for owning real estate assets through special purpose vehicle(s) constituted as companies,» it said, while also approving a regulatory framework, in accordance with IOSCO Principles for Financial Benchmarks, for Index Providers which license ‘Significant Indices’.
To facilitate ease of compliance and strengthen protection of interest of investors in Alternative Investment Funds (AIFs), Sebi said any fresh investment made by an AIF, beyond September 2024, shall be held in dematerialised form.
