The Bombay Stock Exchange (BSE) has tightened listing norms with immediate effect for existing listed companies as well as new firms seeking to list on the exchange.
The governing board of the exchange, at its meeting on 6th August, 2002, amended the direct listing norms for companies listed on other stock exchange(s) and seeking listing at the BSE.
According to the new listing norms, a company should have minimum issued and paid up equity capital of Rs 3 crore. It should have a profit making track record for the last three years.
More From This Section
The revenues/ profits arising out of extra ordinary items or income from any source of non-recurring nature should be excluded while calculating distributable profits. Minimum net worth of Rs 20 crore (net worth includes equity capital and free reserves excluding revaluation reserves).
Minimum market capitalisation of the listed capital should be at least two times the paid up capital. The company should have a dividend paying track record for the last 3 consecutive years and the minimum dividend should be 10 per cent.
Minimum 25 per cent of the company