Sebi grants one-time breather on MPS norms amid West Asia tensions
Sebi grants one-time breather on MPS norms amid West Asia tensions
Sebi offers a one-time relief for listed companies missing minimum public shareholding due to market volatility from West Asia tensions, suspending penalties for deadlines between April and September 2026.
Market regulator Sebi on Tuesday announced a one-time breather for listed companies struggling to meet minimum public shareholding (MPS) norms due to market volatility from West Asia tensions.
The circular notes that penalties won't be initiated against companies whose deadlines to comply with MPS requirements fall between April 1 and September 30, 2026, effectively suspending enforcement under the 2023 master circular.
Sebi has also directed stock exchanges and depositories to withdraw any penal actions already initiated against such entities for MPS shortfalls from April 1 onwards.
The MPS rule requires at least 25% public shareholding in listed firms.
The move aims to provide relief as global markets monitor the ongoing West Asia conflict and its spillovers.
