I-BANKS SEEK RE­LAXED PRIC­ING NORMS FOR QIPS

Hindustan Times (Jalandhar) - - BUSINESS -

MUM­BAI: In­vest­ment banks have ap­proached the Se­cu­ri­ties and Ex­change Board of In­dia (Sebi) to ease pric­ing norms for rais­ing funds through qual­i­fied in­sti­tu­tional place­ments (QIPs) amid dis­rup­tions in busi­ness ac­tiv­ity due to the out­break. “Mer­chant banks have writ­ten to Sebi seek­ing re­lax­ations in the pric­ing formula for QIPs. The mar­ket volatil­ity seen in re­cent times re­stricts their abil­ity to price of­fer­ings more at­trac­tively,” said an in­vest­ment banker, re­quest­ing anonymity. Un­der ex­ist­ing norms, com­pa­nies can of­fer in­vestors a dis­count of up to 5% on the floor price. “We are ask­ing for the dis­count to be in­creased to up to 10%,” said a sec­ond banker, also re­quest­ing anonymity.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.