Face value rules for equity shares permit lower nominal values when issue price is high and mandate uniform disclosure. Regulation prescribes determination of the face value of equity shares for an initial public offer: if the issue price per share is five hundred rupees or more, the issuer may set face value below ten rupees but not below one rupee; if the issue price is less than five hundred rupees, face value shall be ten rupees, subject to an exemption for government-related issuers in the infrastructure sector. Disclosure of face value and any statement comparing issue price to face value must appear in identical font size to the issue price or price band in all offer materials.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Face value rules for equity shares permit lower nominal values when issue price is high and mandate uniform disclosure.
Regulation prescribes determination of the face value of equity shares for an initial public offer: if the issue price per share is five hundred rupees or more, the issuer may set face value below ten rupees but not below one rupee; if the issue price is less than five hundred rupees, face value shall be ten rupees, subject to an exemption for government-related issuers in the infrastructure sector. Disclosure of face value and any statement comparing issue price to face value must appear in identical font size to the issue price or price band in all offer materials.
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