Indian Capital Markets – Equity Fund Raising （印度资本市场股权融资）.pdf

Indian Capital Markets – Equity Fund Raising Options Keyur Shah MBA (Finance), ACS, LLM Practicing Company Secretary Indian Capital Market - Background • Liberalisation in 1992 by Dr. Manmohan Singh, the then Finance Minister • Radical changes in law – from strict government to open economy • Establishment of SEBI – strong legal framework • Increased Foreign Direct Investment • Corporate Governance and Reporting Requirements General Understanding • Sensex / Nifty: How determined • Interest Rates: High/Low? • Liquidity in the system • Inflation • Exchange rates: INR Vs. USD • FEMA Guidelines: Foreign Investments in India (Sectoral Caps): Automatic Route and Approval Route • Investments by Indian Company abroad: Automatic Route: up to 400% of net worth Legal environment for companies seeking issuance of equity • Companies Act, • Overseas 1956 Regulations Securities Foreign Contract Exchange (Regulation) Management Act, 1956 Act, 1999 Issuer Issuer SEBI Stock Guidelines for Exchanges ICDR • Reserve Bank • Policy of India Decisions of Guidelines Central Government P