New Delhi, Jun 29 (PTI) Markets regulator Sebi on Monday extended the deadline till July 15 for public comments on a report regarding social stock exchange and allowing direct listing of non-profit organisations.
A Sebi-appointed panel on social stock exchanges had submitted its report to the watchdog.
'In view of the requests seeking extension of timeline for submission of comments due to COVID-19 pandemic, it has been decided to extend the timeline for seeking public comments to July 15, 2020,' Sebi said in notice.
The initial deadline for public comments was June 30.
Social Stock Exchange (SSE) is a novel concept in the country and such a bourse is meant to serve private and non-profit sector providers by channelling greater capital to them.
The working group was set up by Sebi in September 2019 under the chairmanship of Ishaat Hussain, Director at SBI Foundation and former Finance Director at Tata Sons. The group suggested possible structures and regulations for creating SSE to facilitate listing and fund-raising by social enterprises as well as voluntary organisations.
Direct listing of non-profit organisations through the issuance of bonds and a range of funding mechanisms, which include some of the existing mechanisms such as Social Venture Funds (SVFs) under the Alternative Investment Funds, have been recommended by the panel.
A new minimum reporting standard has also been proposed for organisations, which would raise funds under SSE.
The SSE can be housed within the existing stock exchange such as the BSE and/or National Stock Exchange (NSE). This would help the SSE leverage the existing infrastructure and client relationships of the exchanges to onboard investors, donors, and social enterprises (for-profit and non-profit), as per the report. PTI SRS BAL BAL