On 9-2-2023, the Securities and Exchange Board of India (‘SEBI’) clarified on the compliance by the first- time issuers of debt securities under SEBI (Issue and Listing of Non-Convertible Securities) Regulations, 2021<\/a> (‘NCS’) with Regulation 23(6). The circular came into effect on 9-2-2023.<\/p>\n Key Points:<\/b><\/p>\n Stock Exchanges must take an undertaking from the first- time issuers stating that they ensure that their Articles of Association (‘AOA’) will be amended within a period of six months from the date of the debt securities.<\/p>\n<\/li>\n The undertaking will be taken at the time of granting the in-principle approval.<\/p>\n<\/li>\n The issuer has to comply within 6 months and report the compliance to Stock Exchanges.<\/p>\n<\/li>\n Regulation 23(6) read along with Regulation 2(1)(r) of NCS Regulations requires the AoA of an issuer that is a company to include provisions with respect to the requirement for the board of directors, to appoint such person nominated by the debenture trustee in terms of clause(e) of sub-regulation (1) of regulation 15 of the SEBI (Debenture Trustees) Regulations, 1993<\/a>. The regulation also provides a time period upto September 30, 2023, for existing debt listed issuers to amend their AoA.<\/p>\n<\/li>\n<\/ol>\n *Kriti Kumar, Editorial Assistant has reported this brief.<\/span><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":" On 9-2-2023, the Securities and Exchange Board of India (‘SEBI’) clarified on the compliance by the first- time issuers of debt securities <\/p>\n","protected":false},"author":67011,"featured_media":278871,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,1193],"tags":[55171,2563,16791],"class_list":["post-283814","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legislationupdates","category-notifications","tag-ncs-regulation","tag-SEBI","tag-securities-and-exchange-board-of-india"],"yoast_head":"\n\n
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