Sebi seeks to reset clock on rights issues with faster, flexible rules

From 20 days to 3: Shorter timelines among changes proposed by regulator

The Securities and Exchange Board of India (Sebi) has proposed sweeping changes to the rights issue framework to enhance its attractiveness, aiming to make it the preferred route for additional fundraising by listed companies.
 

Among the changes proposed by the market regulator are reducing the timeline to first 20 days and then to just three days, allowing shareholders to renounce their rights entitlement to investors of their choice, and eliminating the requirement to appoint an investment banker or file a draft letter of offer. In addition to rights issues, listed companies can raise funds through preferential allotments