Ministry of Corporate Affairs nudges Sebi on startups listing rules

The Ministry of Corporate Affairs (MCA) has nudged the market regulator Sebi to partially roll back a relaxation proposed for listing of startups in India.

Currently, the market regulator has created a special platform to cater to the startups looking for a listing, which is called Innovators Growth Platform (IGP). This is a niche platform that can only be accessed by big ticket institutions and wealthy investors, and hence has limited liquidity compared to the mainboard where all the bluechip stocks trade.

A startup that has listed on the IGP platform can migrate to the mainboard provided the company meets several conditions, including a profit of at least Rs 15 crore in the last three years.