Listing of private limited co.

177 views 4 replies
is there anyone who can tell me any instance where a private co gets listed bcoz in company law there are situations when it is mentioned listed company and listed public company.
Replies (4)
As companies act 2013, Section 2 (52) โ€•listed company means a company which has any of its securities listed on any recognised stock exchange; Any of its Securities includes debt instruments. https://www1.nseindia.com/corporates/content/dpp_eligibility.htm

 listed entities means an entity whose any of its security is listed on the stock exchange platform whether it is main Board or SME exchange. 

In most of the cases only public limited company takes steps to list their security and even the size of the Company also matter.

Once the company's security whether equity or debt  has listed,  the plethora of laws applicable on this in Form of disclosure and prior intimation etc as overall all concerned  SEBI regulation needs to comply.   

 

in your case the security(equity) of Private company can not be offer to public at large because section 2(68) of the Companies Act, 2013 prohibit to offer or invite the public to subscribe the security

so another way out for  issuing and listing of debt security of the private  company  this can be happen. 

For this transaction company needs to comply sebi(issue and listing of debt securities) regulation, 2008. 

 

As per the latest announcement for tagging the listed entity whose only non convertible debt securities are listed or proposed to Listed that company would  not be considered as listed company for the purpose of section 2(52). of the Companies Act, 2013  

Private company can be list through debentures


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register