| Sebi to allow below investment grade bonds |
| BS Reporter / Mumbai December 3, 2007 |
| The Securities and Exchange Board of India (Sebi) today relaxed rules for corporate bond issuances by allowing below investment grade debt instruments to collect funds through public and rights issuances, and gave debt issuers the freedom to tap the market with one credit rating, instead of the existing requirement of mandatory rating by two different credit rating agencies, to reduce costs. Sebi said the liberalised rules, which have come into place with immediate effect, are aimed at facilitating the development of a vibrant primary market for corporate bonds in India. The capital markets regulator also removed the structural restrictions currently placed on debt instruments such as those on maturity, put/call option on conversion, etc to afford issuers with |
