SEBI revisits and recasts guidelines on scheme of arrangement, by Vinita Nair & Meenakshi Lakshmanan

Companies strive for surge in their bottom lines. They adopt different strategies to achieve their targets. One of those strategies is the inorganic growth where by a company targets to acquire another company / business unit or merge with the other to create a synergy effect and thereby expand its operations.

SEBI has been constantly revisiting the requirements for compliance and submission of documents to stock exchanges in accordance with the requirement under Listing Agreement/ Listing Regulations. Initially, issued circular in February, 2013, clarifications issued in May, 2013, thereafter, issued revised circular in November, 2015 Read more

SEBIs’ circular on Scheme of Arrangement: Aligning the compliances with the Companies Act, 2013, by Barsha Dikshit and Trupti Upadhyay

Introduction

 

After such a long wait of around 3 months since the enforcement of provisions of the Companies Act, 2013 (‘Act, 2013’) dealing with Compromise or arrangements, Securities of Exchange Board of India (‘SEBI’) finally came up with a Circular [1]dated March 10, 2017 (‘the Circular’) aligning the provisions to be followed by listed companies pertaining to the Scheme of Arrangements with the provisions of the Act, 2013. Provisions of the Act, 2013 dealing with the Compromise and arrangements have already been enforced by MCA. However, since nothing had been Read more