Startups companies have now come up with an Initial Public offer with relaxation of many conditions applicable for Initial Public Offer. In this context, briefly, explain about the "Institutional Trading Platform (ITP)"

SEBI has notified new norms for listing of Small and Medium Enterprises (SMEs) including the startup companies in Institutional Trading Platform (ITP) on stock exchanges without an initial public offering. As per SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009, "Institutional trading platform" ("ITP") means the trading platform for listing and trading of specified securities of entities that comply with the eligibility criteria specified in regulation 106Y. On August 14, 2015, SEBI has come up with a notification for insertion of a new chapter, i.e. Chapter XC of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 with a new set of regulations laying down the terms and conditions for entities desirous of listing on ITP. Eligibility The following entities shall be eligible for listing on the ITP: an entity which is intensive in the use of technology, information technology, intellectual property, data Analytics, biotechnology or nanotechnology to provide products, services or business platforms with substantial value addition and at least 25% of its pre-issue capital is held by qualified institutional buyer(s) as on the date of filing of draft information document or draft offer document with the SEBI, the case may be; or Any other entity in which at least 50% of the pre-Issue capital is held by qualified institutional buyers as on the date of filing of draft information document or draft offer document with the SEBI, the case may be. No person, individually or collectively with persons acting in concert, shall hold 25% or more of the post-issue share capital in an entity.