New Direct Listing at BSE SME Norms are introduced by Bombay Stock Exchange. Direct listing at the BSE SME Exchange without complying with the complicated IPO norms is a new ray hope for all the Companies listed at the Regional Exchange and derive the VALUE. It is very beneficial for the companies that are listed on Exchanges, which might for voluntary derecognition or which may be compulsorily derecognized or which may be compulsorily derecognized by SEBI. After expiry of 2 years and subject to main Board Compliances company can get migrated to BSE main Board.

1. 1.

2. SME – Introduction 2.
Small and medium enterprises ( SMEs ), particularly in developing
countries ,are the backbone of the nation’s economy . They constitute
the bulk of the industrial base and also contribute significantly to their
exports as well as to their Gross Domestic Product (GDP) or Gross
National Product (GNP) . Micro, Small and medium Enterprises
(MSMEs) contributes 8% of the country’s GDP , 45% of the
manufactured output and 40% of our exports . It provides employment
to about 6 cr. Enterprises. The Micro Small and Medium Enterprises
(MSME) sector forms the largest generator of employment to about 6
cr. People through 2.6cr enterprises . The Micro Small and Medium
Enterprises (MSME) sector forms the largest generator of employment
in the Indian Economy . It forms a major portion of the Industrial
Activity

3. BSE SME - 3.
BSE SME platform has been developed after studying the salient
features, best practices and the business model of similar global
existing Exchanges. The listing norms have been extremely simplified
and made convenient for SMEs compared to listing norms on the main
board.
In the past few months, BSE SME has conducted several Seminars for
educating the SMEs on the benefits of listing and the preparations
required for listing on the BSE SME Platform across India. BSE SME has
tied up with channel partners who include various institutions and
associations engaged in the development of SMEs.
The exchange has provided an opportunity to small entrepreneurs to
raise equity capital for the growth and expansion of SMEs . It is also
providing immense opportunity for investors to identify and invest in
good SMEs at early stage.

4. Need for SME Exchange 4.
Provide the
SME’s with the
equity
financing Equity
Diversification opportunities Financing will
of Resources of
lower the Debt
finance
burden
Capital Market
Expand the
will help
investors base
distribute risk
Encourage
Enhance
Innovation and
Company’s
Entrepreneuria
Incentive for Visibility
l spirit
greater venture
capital
participation

5. Benefits of Listing at BSE SME Platform 5.
Encourages Access to
capital and
Innovation &
future
Entrepreneur financing
ial Spirit opportunities
Facilitate growth Increased
through Mergers visibility and
and Acquisitions prestige
Create
employee Venture
incentive Capital (VC)
mechanisms
Liquidity for
shareholders

6. Market Making 6.
Market-making is aimed at infusing liquidity in securities that are not
frequently traded on stock exchanges.
Market Maker is Responsible for enhancing the demand supply
situation in securities
Not more than 5 market makers for a scrip
Shall be required to provide two way quote for 75% of time in a day ,
to be monitored by the stock exchange
The minimum depth of the quote shall be Rs. 1 lakh

7. Eligibility Criteria at BSE SME 7.
• Minimum of • Net worth • Distributabl • Shall comply
Rs.1 crore (excluding e profits for with the
Profit making track record
and revaluation at least 2 requirement
maximum reserves) of out of 3 s of SCRA,
Public Shareholding
up to Rs. 25 at least Rs. 1 immediately SCRR and
Paid up capital
crores, as crore as per preceding Listing
Networth
on the date the latest financial Agreement.
of making audited years
application financial
for direct results
listing.

8. Eligibility Criteria at BSE SME ( Cont ) …… 8.
• The • Minimum • Listed on • Informat
Number of 50% of any ion
Trading in Compulsory Demat
Information Memorandum
No. of public shareholders
of the recognize Memora
Sharehol public d Stock ndum as
Listing track record
ding sharehol Exchange provided
should be ding in
50 should be Schedule
held in II of
demat Compani
form. es Act

9. Post Listing Compliances 9.
• At least one • The Market • A fresh
Appointment of Market Maker
Market Maker shall application
Eligibility of Market Maker
Maker shall hold at least to migrate to
be appointed 5% of the main board
for a issued capital after a period
Migration
minimum of the of two years
period of 3 company on from the
years from the date of date of listing
the date of listing of the on SME
listing on company on Platform
SME SME
platform platform

10. About Us 10.
Corporate Professionals is a group best illustrated for providing widest spectrum
of corporate services at one stop. We are recognized as a destination where all
paths in hunt for corporate solutions end. Through our strong foundations and
robust growth, we have emerged as leading corporate advisors attaining an
edge in providing services at internationally competitive standards. Our
diversified team of professionals who have attained expertise in delivering
supreme corporate services utterly justifies our name, Corporate Professionals.
The group has been involved in delivering services ranging in Corporate
Restructuring, Corporate Compliance and Due Diligence, Investment Banking,
Securities Laws advisory, Corporate Taxation, Securities Laws Advisory etc. Since
the activities are diverse and governed by different regulatory authorities, the
businesses are structured under CP with a clear demarcation of infrastructure
as well as the human resource in order to offer unsurpassed service in each
arena. We differentiate ourselves by the depth and breadth of experience of
our senior managers.

11. Our Assistance in Direct listing 11.
1. Preparation of application for the Listing and other related documents for the Bombay
Stock Exchange including:-
 Preparing the detailed Application for the Bombay Stock Exchange, along with all the
Annexure and Certificates.
 Preparation of the detailed Profile of the company.
 Preparation of the Profiles of the Key Managerial persons , Directors , Promoters of the
company.
 Business details of the company.
 Preparing the Fact sheet of the Company.
2. Co-ordination with the Regional Exchange .
 For the Compliance certificate as on the date of filing of the application with BSE.
 For the Capital Confirmation, confirming the number of listed shares at the Regional
exchange.
 For obtaining positive recommendation letter from the Regional Stock Exchange.

12. Our Assistance in Direct listing ( Cont….. ) 12.
3. Co-ordination with the BSE for receiving In principal approval for the Listing of the shares.
 It includes continuous follow up with the BSE for the case to be included in the Listing
Committee meeting.
4. Preparation of the detailed Information Memorandum of the Company for the submission with
the BSE.
 Collecting complete information of the company with respect to:-
1. Company’s Overview
2. Industry Overview
3. Legal Aspects & litigations, as may be relevant
4. Business Prospects- present and future
 Collecting information of the Directors.
 Collecting information of the holding and subsidiary company.
5. Documentation and Co-ordination with the BSE for the Final trading Permission.

13. Our Allied Services 13.
Preferential Issue QIB
FEMA Services Valuations
Delisting BSE Listing
ESOP Takeovers
Restructuring Rights Issue

14. Contact Us 15.
Contact Persons: –
• Ms. Anjali Aggarwal – Asst. Vice President
M: +91 9971673336 , D: +91 11 40622230
E: anjali@indiacp.com
• Ms. Mohini Varshneya – Sr. Manager
M: +91 9971673332, D: +91 11 40622231
E: mohini@indiacp.com