Key Points

The board will discuss relaxing the minimum requirements for initial public offerings (IPOs) by very large companies and extending the timeline for them to meet minimum public shareholding rules, according to sources.

The meeting is also likely to take up steps to simplify compliance for foreign portfolio investors (FPIs), ease rules for accredited investors in certain alternative investment funds (AIFs), widen the scope of activities for rating agencies, and give equity status to Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs).

The regulator is also considering a proposal to encourage large companies to list in India.

Many of these proposals have already been opened for public consultation, signaling SEBI's broader plan to make regulations more flexible and growth-oriented.

This will be the third board meeting chaired by Tuhin Kanta Pandey since he took charge on March 1.

At the same time, SEBI may release a consultation paper within a month on phasing out weekly futures and options (F&O) contracts.

The regulator is planning a shift to monthly expiries with a defined transition plan and may also look at introducing same-day expiry across stock exchanges.

Meanwhile, earlier this week, SEBI announced that it has amended its rules to allow promoters to retain employee stock options (ESOPs) granted at least one year before filing IPO papers.

According to the official notification, employees who are identified as promoters or part of the promoter group in the draft IPO documents can now continue to hold or exercise ESOPs, Stock Appreciation Rights (SAR), or any similar benefit, provided these were granted at least one year prior to filing.

Until now, SEBI's rules did not allow promoters to hold ESOPs or similar share-based benefits.

- IANS