Regulation 35 - Delisting of equity shares of small companies

Delisting of small company shares requires eligibility, shareholder consent, exit price floor, and prompt cash payment obligations.

Delisting outside Chapter IV is permitted for qualifying small companies meeting paid-up capital, net worth and low trading thresholds and no recent suspension. The acquirer must appoint a Manager, offer an exit price at or above the prescribed floor, notify all public shareholders with price justification, and obtain written consent from ninety percent or more of public shareholding to sell or remain. The acquirer must finalise consents within seventy five working days and pay cash consideration within fifteen working days thereafter; late payment attracts interest subject to waiver. Exchanges may delist after verifying compliance.