India – SEBI Substantial Acquisitions

India – SEBI Substantial Acquisitions

On 3 February 2020, IND SEBI proposed amendments to regulations.

  • The aim of the discussion paper is to seek feedback from the public on the proposed amendments in SEBI (substantial acquisition of shares and takeovers) regulations.


  • Completion of acquisition through stock exchange settlement process for all types of deals including bulk and block deals during the open offer period.
  • Depositing 100% escrow in case of open offers made pursuant to indirect acquisitions.
  • Must be deposited two days before the DPS, in form of cash or bank guarantee.
  • It is proposed that in cases of delay on open offer, a revised open offer price may be calculated after addition of interest (10%) and that this is paid to all the shareholders.
  • These issues have been discussed in meeting of primary market advisory committee, wherein it was decided to seek public comments before carrying out changes.


  • Comment period ends 2 March 2020.