TaxTMI 
TaxTMI 
Framework for considering unaffected price for transactions upon confirmation of market rumour
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....es shall issue the framework for material price movement on their websites. 2. As per second proviso to Regulation 30(11) of LODR Regulations, unaffected price shall be considered for transactions on which pricing norms specified by SEBI or the stock exchanges are applicable, provided that the rumour pertaining to such transaction has been confirmed within 24 hours from the trigger of material price movement. Further, it has been specified that the unaffected price shall be considered by excluding the effect on the price of the equity shares of the listed entity due to the material price movement and confirmation of the rumour. Accordingly, the framework for considering unaffected price is placed as ANNEXURE to this circular and the same ....
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....P on the trading day preceding the day of material price movement. 1.3. The adjusted VWAP for the look back period shall be calculated based on the adjusted daily WAP calculated as mentioned at para 1.1 and 1.2 above, and as illustrated below. 2. Illustration for calculation of VWAP under the above proposed framework in case of preferential issue to qualified institutional buyers (QIBs) under SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 is given in the table below: Table 1: Illustration for calculation of VWAP Trading Day (A) Daily WAP (B) Adjusted Daily WAP (C) No. of Shares traded (D) Remarks (E) 20-Jul 1,045.06 1,045.06 47,004 21-Jul 1,053.26 1,053.26 24,750 24-Jul 1,....
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....0) calculated under existing ICDR Regulations using the daily WAP is Rs. 1,175.78. Adjusted VWAP in the look back period (T-1 to T-10) calculated using the adjusted daily WAP is Rs. 1,069.80. 3. In case the price variation due to confirmation of the rumour, hits the price band limit on the next trading day post rumour confirmation, the price variation in the subsequent trading days shall be included for adjustment till such day the price does not hit the band limit. 4. The unaffected price shall be applicable only if the listed entity has confirmed the rumour pertaining to the transaction within 24 hours from the trigger of material price movement. 5. The unaffected price shall be applicable for a period of 60 days or 180 days, as appli....