What is non-convertible redeemable preference share?

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According to the Securities and Exchange Board Of India Regulations, 2013, non-convertible redeemable preference share means a preference share which is redeemable in accordance with the provisions of the Companies Act, 1956, and does not include a preference share which is convertible into or exchangeable with equity shares of the issuer at a later date, with or without the option of the holder. 

Who can issue non-convertible redeemable preference share?

Any public company, public sector undertaking or statutory corporation which makes or proposes to make an issue of non-convertible redeemable preference shares in accordance with SEBI (Issue And Listing Of Non-Convertible Redeemable Preference Shares) Regulations, 2013,or which has its securities listed on a recognisd stock exchange or which seeks to list its non-convertible redeemable preference shares on a recognised stock exchange

Mandatory listing

An issuer desirous of making an offer of NCRPS to the public shall make an application for listing to one or more Recognised sttock exchanges.

The issuer shall comply with conditions of listing of such NCRPS as specified in the Listing Agreement with the stock exchange where such non-convertible redeemable preference shares are sought to be listed, BSE said in its website.