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Shreyas Shipping successfully completes delisting procedure, with promoters obtaining over 90% of shares.

Currently, a delisting is considered successful when (a) the post-offer shareholding of the acquirer, along with the shares tendered by the public shareholders reaches 90% (‘90% Threshold); and (b) the price discovered pursuant to RBB is acceptable to the acquirer

The existing SEBI regulations on delisting make the delisting process cumbersome as it requires RBB for price discovery. Presently, achieving the 90% threshold in the RBB process is essential for successful delisting, but concerns have been raised about potential manipulation during price discovery stating that, some operator(s) start cornering shares as the delisting is announced and collectively hold more than 10% stake in the company then to achieve 90% threshold their participation becomes inevitable, leading to a very high discovered price, which may not always be the fair price of the st...

The consultation paper has been released after the sub-group of the primary markets committee, constituted on December 18, 2022, and chaired by Keki Mistry, gave its recommendations.

Kar headed the committee that drafted the Delisting Guidelines in 2003, which introduced the reverse book-building process