Securities And Exchange Board Of India - Subsection
Section 26(6) in Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009
(6)Subject to provisions of the Companies Act, 1956 and these regulations, equity shares may be offered for sale to public if such equity shares have been held by the sellers for a period of at least one year prior to the filing of draft offer document with the Board in accordance with sub-regulation (I) of regulation 6:Provided that in case equity shares received on conversion or exchange of fully paid-up compulsorily convertible securities including depository receipts are being offered for sale, the holding period of such convertible securities as well as that of resultant equity shares together shall be considered for the purpose of calculation of one year period referred in this sub-regulation:Provided further that the requirement of holding equity shares for a period of one year shall not apply:(a)in case of an offer for sale of specified securities of a government company or statutory authority or corporation or any special purpose vehicle sett up and controlled by any one or more of them, which is engaged in infrastructure sector;(b)if the specified securities offered for sale were acquired pursuant to any scheme approved by a High Court under sections 391-394 of the Companies Act, 1956, in lieu of business and invested capital which had been in existence for a period of more than one year prior to such approval.
