The equity shares of ABC Limited have been delisted from the stock exchange. When can an application be made for listing of equity shares of ABC Limited ?
CS Executive · Securities Laws and Capital Markets · PYQS · June 2023
The equity shares of ABC Limited have been delisted from the stock exchange. When can an application be made for listing of equity shares of ABC Limited ?
Answer & Explanation:
As per the provisions of the SEBI (Delisting of Equity Shares) Regulations, 2021, an application for listing shall not be made in respect of equity shares of a company which have been delisted, for certain periods, with specific exceptions: 1. Voluntary Delisting (Chapter III) or Exit Opportunity (Chapter IV): If the equity shares have been delisted under Chapter III (Voluntary Delisting) or Chapter IV (Exit Opportunity), an application for re-listing cannot be made for a period of 3 years from the delisting date. 2. Compulsory Delisting (Chapter V): If the equity shares have been delisted under Chapter V (Compulsory Delisting), an application for re-listing cannot be made for a period of 10 years from the delisting date. Exceptions to the above periods: The restrictions on re-listing do not apply in the following cases: Whose equity shares have been delisted pursuant to a resolution plan under section 31 of the Insolvency and Bankruptcy Code, 2016. Whose equity shares are listed and traded on the innovators growth platform pursuant to an Initial Public Offer and which is delisted from the said platform. Whose equity shares have been delisted in terms of regulation 35 (Delisting of equity shares of small companies). Application to ABC Limited: If the equity shares of ABC Limited were voluntarily delisted from one or more recognised stock exchanges, the application for re-listing shall not be made for a period of 3 years from the date of delisting. If the equity shares of ABC Limited were compulsorily delisted, the application for re-listing shall not be made for a period of 10 years from the date of delisting.
Topics: SEBI (Delisting of Equity Shares) Regulations, 2021
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