Sebi icdr clause 26

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I would be highly grateful if anyone could explain Regulation 26 (e) of SEBI (ICDR) , 2009 with an example

 

As per the SEBI (ICDR) Regulations 2009, vide Regulation 26 (d) & (e), a listed Company shall
be eligible to make a public issue of equity shares or any other security which may be converted
into or exchanged with equity shares at a later date provided


(d)   the aggregate of  the proposed  issue and all previous  issues made  in  the same  financial
year  in  terms of  issue size does not exceed  five  times  its pre-issue net worth as per  the
audited balance sheet of the preceding financial year;


(e)   if it has changed its name within the last one year, at least fifty per cent. of the revenue
 for  the  preceding  one  full  year  has  been  earned  by  it  from  the  activity  indicated  by  the
new name.

 

I am confusd abt the wordings used in the above clause.. Plz explain with a practical example.

 

Thanks

Replies (3)

(e)   if it has changed its name within the last one year,

*  at least fifty per cent. of the revenue for  the  preceding  one  full  year 

*  has  been  earned  by  it  from  the  activity  indicated  by  the new name.

My understanding is

Say the name XYZ Services Ltd is changed to XYZ Traders Ltd. Where initialy they were into just providing services for regular maintenance of electronic goods Eg. Computer or AC  and now it mainly does trading activities.

now revenue from last full year from newly started trading activities should be atleast 50% 

 

Do wait for more replies.

 

Roopali thanks a lot for the reply..  Can yu pls explain by taking examples of various dates.. Regards Praveen :)

 

Iatest changes regardin pretax profit conditions

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