SEBI eases norms to encourage listing of start-ups

To encourage the listing of start-ups, market watchdog Sebi on Thursday approved a relaxation in norms, including reducing the holding period for pre-issue capital.

In addition, the regulator approved the cancellation of the existing regulations and rationalization of the existing framework relating to the reclassification of promoter and promoter group entities.

It was also decided to introduce new requirements for reporting sustainability by listed entities at the SEBI board meeting on Thursday. This new report will be called the Business Responsibility and Sustainability Report (BRSR) and will replace the existing Business Responsibility Report (BRS).

The BRSR will apply to the top 1,000 listed entities (by market capitalization) for reporting on a voluntary basis for the fiscal year 2021-22 and on a mandatory basis from 2022-23.