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November 28, 2012

Deal Alert: BSE to allow firms to SME platform only after site visit

The Bombay Stock Exchange (BSE) has issued new conditions for listing of companies on its SME platform through IPO. These include a visit to the company’s site undertaken by the BSE before granting of approval to use the name of the exchange in the offer document. Additionally, the company should also file a compliance certificate by a Practicing Company Secretary according to the guidance note issued by the Institute of Company Secretaries of India. 

BSE is also replacing the existing guidelines with new guidelines for migration from SME Platform to the main board of the BSE. Under the new eligibility criteria for migration, companies have to be mandatorily listed and traded on the SME Platform for a minimum period of two years.