Govt eases ADR/GDR issue norms

The government has eased the ADR/GDR norms for companies going for overseas listing. As per a new notification, the government has amended the ADR/GDR norms for companies going for such issues, through simultaneous listing of their shares or follow-on offers in the international capital market.

However, the companies have to take the permission of the Sebi and make the follow on offer within 30 days.

In a notification, the finance ministry said: "The companies going in for an offering in  the domestic market and a simultaneous or immediate follow on offering through american depository receipts (ADR)/ global depository receipts (GDR) issues would be exempted from the requirement of the revised pricing guidelines."