Unlocking India’s IPO Potential: Dissecting The 2025 SEBI ICDR Amendments For A Transparent Market
- IJLLR Journal
- 3 days ago
- 1 min read
Tanuj Goyal & Taha Lakdawala, Symbiosis Law School, Pune
ABSTRACT
Major reforms are introduced with the Issue of Capital and Disclosure Requirements (Amendment) Regulations, 2025. The goal is to enhance transparency and harmonise operational norms of international best practices, and facilitate the ease of doing business in the IPO environment of India. This article emphasises material amendments, including clarity regarding Stock Appreciation Rights (SARs), pro forma financial statements, lock-in levels for promoters, voluntary disclosure, and an extended definition of capital expenditure. It also talks of new disclosure and harmonised compliance requirements, including the reporting of pre-IPO placements, prerequisites of offer documents, and exit post listing of dissenting shareholders by carrying out a detailed assessment of impacts and a comparative survey with the other jurisdictions. The article, in critically analyzing the balance that SEBI strives to achieve, focuses on systems of the U.S and the U.K. trade off the flexibility of the issuers with investor protection in an active capital market.
Keywords: SEBI ICDR (Amendment) Regulations, 2025, IPO Disclosure and Transparency, Stock Appreciation Rights, Investor Protection, Pre-IPO Placement and Reporting.
