Zee Business Impact: Breaking news on IPOs' price bands confirmed; SEBI issues consultation papers for review

The news of Zee Business on IPOs' price band is confirmed now. The Securities and Exchange Board of India (SEBI) has issued a discussion paper to review the price bands of IPOs.  

Zee Business had reported on 6 September that the exercise of making rules on this matter may start soon. SEBI has issued a consultation paper on this today. Brajesh Kumar, Assistant Editor, Zee Business talks about what's special about the consultation paper and why Zee Business raised this issue. 

What is SEBI's proposal on the IPO price band? 

The Sebi committee suggested that there should be at least 5 per cent difference between the upper and lower bands. 

Sebi wants an opinion on whether there is really a difference in price band? If there is a difference in the price band, then how much should it be kept? 

Does the fixed price issue need further changes? Price discovery was failing due to the low price band.

सेबी की कमेटी का सुझाव IPO प्राइस बैंड में कम से कम 5% अंतर हो। मामले पर जारी किया कंस्लटेशन पेपर। ज़ी बिजनेस ने लगातार उठाया था मुद्दा और बताया था कि आएंगे नियम। @SEBI_India | @AnilSinghvi_ | @BrajeshKMZee pic.twitter.com/9QwxSCcWFi

— Zee Business (@ZeeBusiness) October 4, 2021

Here are the issues in which the price band differs by only Re 1

See Zee Business Live TV Streaming Below:

Issue                                              Price Band 

Stove Kraft                                      Rs 384-385  

Home First Finance                        Rs 517-518  

IRFC                                               Rs 25-26  

Heranba Industries                         Rs 626-627  

MTAR Technologies                        Rs 574-575