Sebi Chief Creating Template for Companies to Easily Get IPO Approval

Sebi chairperson Madhabi Puri Buch announced plans to streamline the IPO approval process by introducing a template where companies can fill in the blanks for faster approvals. Additionally, an artificial intelligence tool is in development to speed up the review of IPO documents, expected to be operational by December.

Buch emphasized the need to simplify the IPO process, aiming to create a demystified offer document with a template for companies to easily prepare their IPO documents. The new system will reduce processing time and clarify complexities, ensuring a smoother approval process.

Furthermore, Sebi is exploring a new fundraising process for listed companies, combining rights issues and preferential allotments to expedite the approval timeline to just 23 days.

Buch highlighted the regulator’s focus on returning incomplete documents to facilitate faster processing for genuine applications, prioritizing transparency and efficiency in the IPO process.

The initiatives aim to support young companies in their listing journey and enhance the disclosure requirements for loss-making entities to promote market transparency and investor confidence.

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