Monday, February 24, 2020
The government is considering an amendment to the Companies Act to allow unlisted Indian companies to list abroad, as per a Business Standard news.
The Companies Amendment Bill is expected to be tabled in the ongoing Parliament session, with changes including decriminalisation and a reduced compliance burden.
“We will specify the jurisdictions where Indian firms can list. They will be mature and compliant with the Financial Action Task Force,” as per a MCA official. Currently, Indian companies tap foreign capital mostly through American depository receipts (ADRs) or global depository receipts.The Ministry of Corporate Affairs (MCA) is also planning to introduce an enabling provision in the law to ensure large unlisted companies have to file quarterly results on the MCA21 portal.
