SEBI relaxes AGM deadline for certain companies

SEBI relaxes AGM deadline for certain companies

Providing compliance relaxation amid the coronavirus pandemic, markets regulator Sebi on Thursday gave time till September-end to certain companies for conducting their annual general meetings.

Relaxing the provisions of LODR norms, Sebi in a circular said, "The top-100 listed entities by market capitalization whose financial year ended on December 31, 2019, may hold their AGM within a period of nine months from the closure of the financial year (i.e., by September 30, 2020)."

Sebi said the circular "shall come into force with immediate effect".

Under the Listing Obligations and Disclosure Requirements (LODR) norms, top-100 listed entities by market capitalization are required to hold their annual general meetings (AGM) within five months from the date of closing of the financial year.

On Tuesday, the Ministry of Corporate Affairs also gave time till September-end for a certain section of companies to conduct their AGM. The relaxed deadline would be applicable only for companies whose financial year ended on December 31, 2019, the ministry had said, amid the coronavirus pandemic and nationwide lockdown.