Sebi eases delisting for listed subsidiaries, grants exemption from RBB

Move will help simplify restructuring process for large groups

The Securities and Exchange Board of India (Sebi) on Tuesday made it easier for a listed holding company to delist its subsidiary by granting exemption from the reverse book building (RBB) process.

The regulator said as long as the holding company and the listed subsidiary are in the same line of business and delisting is overwhelmingly approved by shareholders, the listed subsidiary will be allowed to turn into a wholly-owned subsidiary of the listed parent. The delisting process prescribed by Sebi is similar to the merger process, however, in this case, the listed entity will continue to exist as a