SEBI Tightens Financial Reporting Norms For Newly Listed Firms
This is to ensure that there is no omission in submission of financial results, says SEBI.
SEBI has streamlined the timeline for submission of first financial results by newly listed entities in order to overcome the challenges of immediate submission of financial results post listing.
"This is to ensure that there is no omission in submission of financial results," the Securities and Exchange Board of India said on Wednesday.
The decision was taken at the market regulator's latest board meeting.
It has also approved changes to its listing obligations and corporate governance rules, tightening norms for companies that are looking to list on the bourses:
Introduction of a quantitative threshold for determining materiality of events/information.
A stricter timeline for disclosure of material information. Board decisions are to be informed within 30 minutes and information from within the listed entity to be disclosed within 12 hours.
Market rumours to be verified and confirmed by top 100 listed entities by market capitalisation effective from Oct. 1, and by top 250 listed entities with effect from April 1, 2024.
Disclosure for certain types of agreements binding listed entities.