InvestorQ : Is it correct that SEBI has extended the holding period for anchor investors?
Rutuja Nigam made post

Is it correct that SEBI has extended the holding period for anchor investors?

Answer
image
5 months ago
Follow

In its board meet on 28ths December, SEBI has made a number important announcements. For example, it has stipulated that the anchor portion will not be divided into 2 components. Out of the anchor allotment, 50% can be sold after 1 month but the balance can be only sold after 90 days. The extended lock-in will ensure better stickiness among anchor investors and the price volatility will also reduce.

In addition, the SEBI also announced measures to regulate usage of IPO funds. Going ahead, if acquisition target is not identified by the IPO issuing company, then outlay for inorganic growth cannot exceed 25% of amount raised. Also, for setting of IPO price bands, the minimum price band shall be 105% of floor price. In more changes, the HNI quota will have a sub reservation of 33% of HNI quota for application sizes between Rs.2 lakh and Rs.10 lakh.

15 Views