TaxTMI 
TaxTMI 
Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) (Fourth Amendment) Regulations, 2012
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.... sub-regulation (1), after clause (n), the following new clause shall be inserted, namely:- "(na) "General Corporate Purposes" include such identified purposes for which no specific amount is allocated or any amount so specified towards General Corporate Purpose or any such purpose by whatever name called, in fie draft offer document filed with the Board: Provided that' any issue related expenses shall not be considered as a part of General Corporate Purpose merely because no specific amount has been allocated for such expenses in the draft offer document filed with fie Board." (ii) in regulation 4, after sub-regulation (3), the following new sub-regulation shall be inserted, namely- "(4) The amount for general corporate purposes, as mentioned in objects of the issue in the draft offer document filed with the Board, shall not exceed twenty five per cent of the amount raised by the issuer by issuance of specified securities." (iii) in regulation 5, - (A) in sub-regulation (3), for the full stop, the symbol ":" shall be substituted; (B) after sub-regulation (3), the following proviso shall be inserted, namely,- "Provided....
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.... (A) in clause (a), for the symbol ";" the symbol ":" shall be substituted; (B) after clause (a) the following proviso shall be inserted, namely,- "Provided that in case the post issue shareholding of the promoters is less than twenty per cent., alternative investment funds may contribute for the purpose of meeting the shortfall in minimum contribution as specified for promoters, subject to a maximum of ten per cent of the post issue capital." (xi) in regulation 33, in sub-regulation (1)- A. in clause (b), after the words "acquired by promoters", the words "and alternative investment funds", shall be inserted. B. In clause (b), in the proviso, in para (i), after the words "if promoters", the words and symbol '"alternative investment funds, as applicable", shall be inserted. C. In clause (c), after the words "allotted to promoters", the words "and alternative investment funds", shall be inserted. (xii) in regulation 36, in clause (a), after the words "minimum promoters' contribution" and before the words "shall be", the words and symbols "including contribution made by alternative investment funds, referred to in proviso to ....
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....ed on a proportionate basis." (xvi) after regulation 51, the following new regulation shall be inserted, namely,- "Annual Updation of Offer Document 51A. The disclosures made in the red herring prospectus while making an initial public offer, shall be updated on an annual basis by issuer and shall be made publicly accessible in the manner specified by the Board." (xvii) in regulation 57, in sub-regulation (2), - (A) in clause (b), for the full stop the symbol ":" shall be substituted; (B) after clause (b), the following proviso shall be inserted, namely- "Provided that in the case of a further public offer or a rights issue, the offer document shall be deemed to be in compliance with the provisions of this regulation, if suitable references are made to the updated disclosures in the offer document referred to in regulation 51A of these regulations." (xviii) in regulation 85, (A) in sub-regulation (1), for the full stop the symbol ":" shall be substituted; (B) after sub-regulation (1) following proviso shall be inserted, namely,- "Provided that the issuer may offer a discount of not more than five per c....
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....e (a),- (i) the words and symbol "retail individual investors," shall be omitted; (ii) after the full stop, the following shall be inserted namely,- "The allotment to retail individual investors shall be made as referred to in sub-regulation (1A) of regulation 50 of these regulations." (II) in clause (b), in the proviso, the symbol and words ", in case the book building process is undertaken for the purpose of compliance of eligibility conditions for public issue" shall be omitted. (xxiii) for Schedule XIV, the following shall be substituted, namely:- Schedule XIV [See regulation 49 (2)] ILLUSTRATION EXPLAINING MINIMUM APPLICATION SIZE For inviting applications in multiples of the minimum value as referred to in sub-regulation (2) of regulation 49, the procedure is clarified by following example: Assuming an issue is being made at a price of Rs. 900 per equity share. In this case, the issuer in consultation with the lead merchant banker can deter-nine the minimum application lot within the range of 12 - 16 equity shares (in value terms between Rs. 10,000- Rs. 15,000), as explained hereunder: Options I II III IV V ....
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....ailability of shares, and the remaining available shares, if any, shall be allotted on a proportionate basis. The actual entitlement shall be as follows: Sr. No. Name of Investor Total Number of specified securities applied for Total number of specified securities eligible to be allotted 1. A 320 20 specified securities (i.e. the minimum bid lot) + 38 specified securities[{35,00,000 - (1,00,000 * 20)}/{140,00,000 - (1,00,000 * 20)}] * 300 (i.e. 320-20) 2. B 220 20 specified securities (i.e. the minimum bid lot) + 25 specified securities[{35,00,000 - (1,00,000 * 20)}/{140,00,000 - (1,00,000 * 20)}] * 200 (i.e. 220-20) 3. C 120 20 specified securities (i.e. the minimum bid lot) + 5 specified securities[{35,00,000 - (1,00,000 * 20)}/{140,00,000 - (1,00,000 * 20)}] * 40 (i.e. 60-20) 4. D 60 20 specified securities (i.e. the minimum bid lot) + 38 specified securities[{35,00,000 - (1,00,000 * 20)}/{140,00,000 - (1,00,000 * 20)}] * 300 (i.e. 320-20) 5. E 20 20 specified securities (i.e. the minimum bid lot) B. (1) Total no. of specified securities on offer @ Rs. 600 per share: 1 crore ....