The document outlines the concept of listing agreements in the context of securities on stock exchanges, detailing its definition, objectives, and the obligations companies must fulfill. It compares the listing requirements and fees of BSE and NSE, discussing criteria such as minimum capital, market capitalization, profit-making records, and track records of dividend payments. Additionally, it emphasizes the legal frameworks and guidelines governing listings, ensuring investor protection and market liquidity.

1. LISTING AGREEMENT
&
LISTING REQUIREMENTS
Presented By:
Gurpreet Singh
21/015

2. What is Agreement ?
Agreement is an act in the eye of law
where two persons have common
intention to do or not to do any act,
deed or thing may be oral or written.

3. Listing ?
Listing means admission of securities to
dealings on a recognised stock exchange.
The objectives of listing are mainly to
provide
• liquidity to securities;
 mobilize savings for economic
development;
 protect interest of investors by ensuring
full disclosures.

4. Listing Agreement:
A document which a company signs when
being listed on the Stock Exchange, in
which the company promises to abide by
stock exchange regulations.

5. Undertakings by the Company:
Under the Listing Agreement, a company
undertakes:
 To provide facilities for prompt transfer,
registration, sub-division and consolidation of
securities;
 To give proper notice of closure of transfer books
and record dates, to forward 6 copies of
unabridged Annual Reports, Balance Sheets and
Profit and Loss Accounts to Stock Exchange, to
file shareholding patterns and financial results on
a quarterly basis;
 To intimate promptly to the Exchange the
happenings which are likely to materially affect the
financial performance of the Company and its

6. Listing Procedure:
 Initial Discussions
 Approval of Memorandum and Articles
of Association
 Approval of Draft Prospectus
 Submission of Application
 Listing Conditions and Requirements

7. Guidelines:
The Issuer shall comply to the guidance/
regulations applicable to listing as bidding
inter alia from
 Securities Contracts (Regulations) Act
1956
 Securities Contracts (Regulation) Rules
1957
 Securities and Exchange Board of India
Act 1992
 And any other circular, clarifications,
guidelines issued by the appropriate

8. Comparison of Listing
Requirements:
S.No Criteria BSE NSE
1.
Capital Required
(Paid-up)
Minimum 10 Crores Minimum 10 Crores
2.
Market
Capitalization
Minimum 2 times of Paid Up
Capital
Minimum 25 Crores
3.
Profit Making
Record
At least last 3 years N.A.
4. Net Worth Required Minimum 20 Crores
The net worth of the
company has not been
wiped out by the
accumulated losses
resulting in a negative net
worth
5.
Dividend Paying
Track Record
Minimum 3 years
Minimum 2 out of last 3
immediately preceding
financial years

9. Comparison of Listing Fees: (2014-15)
BSE NSE
Initial Listing Fee
Rs.20,000 Rs.50,000
Annual Listing Fees (in crores)
Upto 50
Rs.1,00,00
0
Upto 10 Rs.90,000
Above 10 upto 25 Rs.1,20,000
Above 25 upto 50 Rs.1,40,000
Above 50 to 100
Rs.1,66,25
0
Above 50 to 100 Rs.2,40,000
Above 100 to 150
Rs.1,90,00
0
Above 100 upto 200 Rs.3,15,000
Above 150 to 200
Rs.2,28,00
0
Above 200 to 250
Rs.2,61,25
0
Above200 upto 300 Rs.4,05,000
Above 250 to 300
Rs.2,94,50
0
Above 300 to 350 Rs.3,23,000
Above 300 upto 400 Rs.4,90,000

11. Questions:
 What is Listing Agreement?
 Is Trading and Listing same?