FinMin Amends IPO Public Float Rules: New Norms for Listed Companies
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FinMin Amends IPO Public Float Rules: New Norms for Listed Companies
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News18•15-03-2026, 13:45
FinMin Amends IPO Public Float Rules: New Norms for Listed Companies
•Finance Ministry amends Securities Contracts (Regulation) Amendment Rules, 2026, for minimum public offers by IPO-bound companies, linking them to post-issue capital.
•Companies with post-issue capital over Rs 1,600 crore and below Rs 5,000 crore must achieve 25% public shareholding within three years of listing.
•At least 2.5% of each class of securities must be offered to the public at the time of listing, irrespective of the post-issue threshold.
•New rules specify varying public offer requirements based on post-issue capital ranges, from 25% for smaller companies to specific monetary and percentage targets for larger ones.
•Companies with post-issue capital above Rs 5,000 crore have extended timelines (5-10 years) to reach 25% public shareholding, and stock exchanges can penalize past non-compliance.
