Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Overseas listing by unlisted indian companies

1,505 views

Published on

An overview of possibilities for unlisted Indian companies to raise capital through listing on overseas stock exchanges, highlighting latest Indian government policy on this topic.

Published in: Business, Economy & Finance
  • Be the first to comment

  • Be the first to like this

Overseas listing by unlisted indian companies

  1. 1. OVERSEAS LISTING BY UNLISTED INDIAN COMPANIES By Alpha Partners
  2. 2. Access to New and Incredibly deep capital Economical options vis-à-vis PE or debt funding Surreal spike in valuation and less under-pricing Increased Liquidity and broad investor base Lowered cost of capital Enhanced protection to Investors Brand building and wide media coverage Additional Visibility, Exposure and Prestige Benefits to employees New growth opportunities and better access to technologies $ as Currency for acquisitions Easy exit Overseas Listing
  3. 3.  COMPANIES ACT, 1956  FOREIGN EXCHANGE MANAGEMENT ACT  FOREIGN DIRECT INVESTMENT POLICY  OVERSEAS DIRECT INVESTMENT POLICY  FCCB  SEBI ACT AND REGULATIONS  INCOME TAX ACT, 1961  LISTING AGREEMENTS
  4. 4. DIRECT LISTING (to be prescribed) HOLDING COMPANY STRUCTURE FUND STRUCTURE
  5. 5. Approval of Finance Ministry for unlisted companies to raise capital abroad without prior listing in India Features of the scheme •Introduced on pilot basis for two years •After two years, subject to review •Proceeds may be used to retire overseas debt, overseas operations and M&A Conditions •Only on only on exchanges in IOSCO/FATF compliant jurisdictions •Filing and compliance with SEBI disclosure norms, FDI policy required •In case money not used abroad, the same shall be remitted back to India
  6. 6. US Tax Haven India Listing on NYSE Z US Co. Holding Company Promoter(s) A India Pvt. Ltd.
  7. 7. US Tax Haven for US Tax Haven (MU, SG) India Listing on NYSE Issuer Company Holding Company Asset Manager Asset/ entity Asset/ entity Asset/ entity Asset/ entity Advisory company
  8. 8. Steps involved Pre-IPO IPO process Post IPO •Finalize listing destination – preferred are US and Europe •Finalizing IPO team •Strategies and internal restructuring •IPO Marketing strategy •Internal housekeeping •Process timelines •Prospectus filing and compliances •Listing, stock exchange registration and issue •Issue of securities •Stock exchange compliances •India related compliances, FDI, tax, SEBI, RBI, CA’56/13 •Use of proceeds
  9. 9. ALPHA PARTNERS E-156, Sector 20 NOIDA info@alpha-partners.org www.alpha-partners.org +91 120 4562203

×