SEBI Amends Takeover Regulations: Blocks Wilful Defaulters from Public Announcements for Open Share Offers.

The Securities and Exchange Board of India (SEBI) issued the Second Amendment to the Substantial Acquisition of Shares and Takeovers Regulations, 2016, which came into effect upon publication in the Official Gazette. The amendment introduces the term "wilful defaulter," defined as individuals or entities identified by banks or financial institutions as such, including their directors, promoters, or partners. It prohibits wilful defaulters from making public announcements for open offers to acquire shares, except for making competing offers under certain conditions. This regulation aims to enhance the integrity of the share acquisition process by restricting the participation of financially irresponsible parties.

---

---

---