These 200 companies will be ‘compulsorily’ delisted by BSE tomorrow
MUMBAI: The BSE on Monday said that it will compulsorily delist 200 companies with effect from Wednesday and will bar promoters of these companies from accessing the securities market for ten years.
These companies belong to various sectors ranging from chemicals and fertilizers, pharmaceuticals, finance and textile companies.
He exchange announced this in three different circulars. The first circular pertained to 117 companies that have remained suspended for more than ten years.
According to this circular, as per the Securities and Exchange Board of India’s delisting regulations, promoters of these delisted companies will be required to buy the shares from the public shareholders as per the fair value determined by the independent valuer appointed by the BSE.
The second circular mentioned 28 companies that have remained suspended for more than a decade and are under liquidation.
The third circular mentioned 55 companies that will be delisted from BSE following their compulsory delisting from the National Stock Exchange of India.
BSE said in these circulars that whole-time directors, promoters and group companies of these delisted firms will be debarred from accessing the securities market for ten years from the date of compulsory delisting. Further, these companies will be moved to the dissemination board of the exchange for five years as advised by the SEBI, the BSE said.
Some of these companies include Athena Financial ServicesBSE 0.00 %, Arihant Industries, Credential Finance, Dolphin Investments.
His move by BSE amid heightened scrutiny by regulators on shell companies recently. Earlier this month, SEBI had directed exchanges to initiate action against 331 suspected shell companies and keep them under graded surveillance measures with immediate effect. Some of the companies have got relief from the Securities Appellate Tribunal since then.