Leading bourse BSE today said it has received a total of 16 applications from merchant bankers including Karvy Investor Services and Hem Securities to act as independent valuers for firms listed on non-operational bourses.
The move is in line with market regulator Sebi's directive to provide an exit mechanism to investors of such companies.
The exchange has received nine more applications taking the total number to 16. Last week, seven entities had applied to act as independent valuers for exclusively-listed companies.
The entities that applied are Vivro Financial Services, Corporate Capital Ventures, Mark Corporate Advisors, Aryaman Financial Servcies, Munoth Financial Services, Sumedha Fiscal Services, Corporate Capital Ventures and Turnaround Corporate Advisors.
Also, VC Corporate Advisors, SPA Capital Advisors, SMC Capitals, Saffron Capital Advisors, Corporate Professionals Capital and Sobhagya Capital Options have also applied.
The move comes after BSE invited applications for appointment of Independent Valuers from the panel of expert valuers of the designated stock exchanges.
As per Securities and Exchange Board of India (Sebi) directions, exclusively-listed companies of de-recognised, non-operational or exited stock exchanges opting for offering exit to investors are required to appoint an independent valuer from a panel of expert valuers of the designated stock exchange.
Earlier this month, BSE had issued a detailed set of norms for independent valuers of companies that are listed on non-operational bourses to facilitate exit of investors.
In a circular, the exchange had said, "Only Sebi-registered active (not under suspension) category I merchant bankers shall form panel of expert valuers of the designated stock exchange (BSE Ltd) to act as independent valuers for arriving at a fair value."
The exchange will reserve the right to delist the name of independent valuer at any stage, if found unsatisfactory, or if it does not comply with the BSE's requirements.
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