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Corporate Laws Central Ministry of Finance Securities and Exchange Board of India Act, 1992

Guidelines for returning of draft offer document and its resubmission

06-Feb-2024 | SEBI/HO/CFD/PoD-1/P/CIR/2024/009

SEBI has issued Guidelines for returning of draft offer document and its resubmission to ensure completeness of the offer document for investors and provide greater clarity & consistency in the disclosures and for timely processing. Key higlights:- 1. Disclosures made in the draft offer document shall satisfy one or more of the following requirements: i) Draft offer document is drafted in simple language with visual representation of data, so as to ensure ease of understanding of its contents and which substantially complies with the principles as provided in the circular. ii) The information in the draft offer document shall presented in a clear, concise, and intelligible manner, adhering to the standards mentioned in the circular. iii) The risk factors are appropriately worded in simple, clear and unambiguous language to bring out clearly the risk to the investor, without undermining the same. And other factors as mentioned in the Circular shall be considered. The issuer shall within two days of resubmission of draft offer document with the Board, make a public announcement in the mode and manner as prescribed under ICDR Regulations, as applicable, and the issuer shall also include a disclosure that it is a resubmitted document. Issuer shall make written intimation to its sectoral regulator, if any, informing about the return and resubmission of the draft offer document, as applicable. For more details please refer the attachment.

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