Listing of company

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In what circumstances  company must be listed in stock exchange.

Replies (3)

No circumstances at all provided by companies act.

 

If a company go for public issue of shares through IPO (Initial Public Offer) and raise money from public at large then Listing of share is mandatory as desired by Section-73 along with filing of prospectus at the initial stage. Approval of prospectus by SEBI is mandatory b4 issuing shares to the public.

 

Study Section-73 of companies act, 1956

Thanks for the reply.

I studied sec 73 but now i am confused with sec 68b.

In this section it says if IPO is more than 10 crore then it will must be in dematerialised form.

Does it mean listing is compulsory ?

Plz do not confuse my friend.

Read section 68B as a separate section. Yes if IPO is more than 10 crore then it must be in demat form.

for IPO listing is must

 


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