Cos to disclose sensitive price information within a day: SEBI

SEBI suggests that all listed firms would have to intimate to the stock exchanges within 15 minutes of the closure of board of directors meeting about decisions

Aug 20, 2014 10:08 IST India Infoline News Service

The Securities and Exchange Board of India (SEBI) has released a discussion paper on review of clause 36 and related clauses of Equity Listing Agreement.
The discussion paper seeks to review the continuous disclosure regime for listed companies in India and provide appropriate regulatory framework to assist listed entities to understand and comply with their disclosure obligations under Equity Listing Agreement (proposed), SEBI said in its report on Tuesday.
SEBI has defined material development as, “The term ‚material transaction or arrangement? shall mean any individual transaction or arrangement which, in the opinion of the Board of Directors of the listed entity, is significant to the operations or performance of listed entity.”
In the discussion paper, SEBI has suggested that all listed firms would have to intimate to the exchanges within 15 minutes of the closure of board of directors meeting about decisions on fund raising proposal, dividends, cash bonuses, buyback of securities.
The 26-page discussion paper is open for public comments till September 12.
"The quality of disclosures that are currently being made by the listed entities under the existing provisions, also points to the need for detailed rules governing continuous disclosures.
"Continuous, adequate, accurate and timely disclosure of information on an ongoing basis would achieve parity while enabling investors to make informed investment decisions," the discussion paper said. 

Related Story

Open Free Demat Account (Rs699)