Sebi gives more time to listed cos for holding board meeting

NEW DELHI: Markets regulator Sebi on Friday eased compliance requirement on time gap between two board meetings for listed companies till July 31, due to coronavirus pandemic.

As per the norms, board of directors or audit committee need to meet at least four times a year, with a maximum gap of 120 days between any two meetings.

In a circular, Securities and Exchange Board of India (Sebi) said, "The relaxation of maximum time gap between two board/audit committee meetings is further extended till July 31, 2020".

However, the board of directors and audit committees of listed entities will have to ensure that they meet at least four times a year, it added.

This comes following requests from listed companies for relaxation.

Earlier in March, the regulator had relaxed the requirement of the maximum stipulated time gap of 120 days between two meetings of the board and audit committees of listed entities as required under LODR (Listing Obligations and Disclosure Requirements) Regulations.

This relaxation was provided for the meetings held or proposed to be held between the period December 1, 2019 and June 30, 2020.

This circular will come into force with immediate effect, the regulator said.

On Wednesday, Sebi had given one more month till July 31 for listed companies to submit their fourth-quarter as well as annual results.