QIB Status May Be Given To Large Corporates, NBFCs
SEBI may be willing to give large corporates and non-banking financial companies (NBFCs) qualified institutional buyer (QIB) status for IPOs, to increase the pool of institutional buyers.
The Primary Market Advisory Committee comprising of I-bankers and government representatives, has discussed on the matter. Some members have opposed in move to include NBFCs such as brokers and merchant banks in QIB list. These NBFCs are involved the distribution of IPOs and trading activities, hence there will be a conflict of interest.
Currently, 50-60% of the public issue is reserved for QIBs like FIIs, Mutual Funds, insurance companies and some government institutions. Currently Corporates and NBFCs apply under the non-institutional category, which includes HNIs, and accounts for 15% of the public offer.
Eligibility norms may limit the number of such corporates and NBFC.
Reference: ET
| Readers' Comments | Post a Comment >> |
| Dealforwards |  |
| Jan 31, 2012... | Dell Set For India Acquisition: Hexaware, NIIT Potential Targets |
|
| Jan 31, 2012... | Flipkart Raises $150Mn From Accel Partners, Tiger Global |
|
| Feb 1, 2012... | Trishe Energy To Raise PE Funding For Wind Power Projects |
|
| Feb 6, 2012... | Unitus Seed Fund Invests In Bodhicrew Services, Hippocampus Learning, Milaap Social |
|
| Jan 31, 2012... | Radiowalla.in Raises Series A Funding From Ojas Venture Partners |
|
Editorial
India A Bright Spot For Otherwise Insolvent CalPERS
I heard that Calfornia Pension is going to default and I started wondering what could be India's contribution to that.
