The Listing Application
Where the transferee is a listed company, the new shares issued under the scheme must be listed on the stock exchange. The transferee files a listing application with the exchange, accompanied by the NCLT order, the scheme, the shareholder approvals, the allotment resolution, and the post-scheme shareholding pattern. The exchange reviews the application and grants listing permission.
The Stock Exchange No-Objection
Before the NCLT sanctions the scheme, the listed transferee must obtain the stock exchange’s no-objection letter. The exchange’s observations must be incorporated into the NCLT petition, and the listed entity must disclose the no-objection letter on its website within twenty-four hours of receipt. A scheme that proceeds without the exchange’s no-objection is vulnerable to a listing delay.
The Post-Listing Compliance
Once the shares are listed, the transferee must comply with the LODR’s continuous disclosure obligations: the shareholding pattern, the corporate governance report, the related-party disclosures, and the price-sensitive information disclosures. The scheme’s effective date and the allotment are themselves material events that require disclosure.
The Documentation
The file should contain: the listing application; the exchange’s no-objection; the NCLT order; the listing permission; the trading approval; and the post-listing disclosures. A scheme that is sanctioned but not listed leaves the shareholders with shares they cannot trade.
Call to Action: For listing application preparation, stock exchange no-objection strategy, or post-listing compliance, contact office@anujdesaiassociates.com or 9619456656. Website: https://anujdesaiassociates.com. LinkedIn: linkedin.com/in/ca-anuj-desai-122547230.