SEBI Simplifies IPOs: New Rules Ease Listing, Boost Investor Access

• SEBI approves major IPO rule amendments to resolve issues with pledged pre-issue shares and complex DRHP documents.
• A new tech-based mechanism allows depositories to automatically mark pledged shares as locked-in, preventing transfer during the lock-in period.
• The abridged prospectus is strengthened, available at the draft stage with a QR code for easy access to company details for investors.
• Companies must amend their Articles of Association, inform lenders, and disclose these changes prominently in DRHP/RHP.
• Reforms aim for easier compliance, reduced listing delays, increased market efficiency, and better-informed investors.

Why It Matters: SEBI's new rules streamline the IPO process, making it easier for companies to list and improving investor access.