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Qualifications for Listing Securities of Existing Companies

1) Paid up Capital & Market Capitalisation:

  • The paid-up equity capital of the applicant shall not be less than Rs. 10 crores * and the market capitalisation of the applicant’s equity shall not be less than Rs. 25 crores* or
  • The paid-up equity capital of the applicant shall not be less than Rs. 25 crores * or
  • The market capitalisation of the applicant’s equity shall not be less than Rs. 50 crores. **
 * For this purpose the existing Paid up equity capital as well as the Paid up equity capital after the proposed
issue for which listing is sought shall be taken into account.
** The average of the weekly high and low of the closing prices of the shares as quoted on the National
Stock Exchange during the last twelve months preceding the date of submission of application by the
company and if the shares are not traded on the National Stock Exchange such average price on any of
the recognised Stock Exchanges where those shares are frequently traded should be taken into account
while determining market capitalisation after making necessary adjustments for Rights / Bonus Issues.
  • Unless the market capitalisation is more than Rs. 25 crores the securities of the company should be traded for at least 25% of the trading days during the last twelve months preceding the date of submission of application by the company on atleast one of the Stock Exchanges where it is traded.
The requirement of Rs. 25 crores market capitalisation mentioned above is not applicable to listing of securities issued by Government Companies, Public Sector Undertakings, Financial Institutions, Nationalised Banks, Statutory Corporations and Banking Companies who are otherwise bound to adhere to all the relevant statutes, guidelines, circulars, clarifications etc. that may be issued by various regulatory authorities from time to time.

2) Atleast three years track record of either:

  • the applicant seeking listing; or
  • the promoting company, incorporated in or outside India
For this purpose, the applicant or the promoting company shall submit audited balance sheet of three preceding financial years of the company to NSE and also provide a certificate to the Exchange in respect of the following:
  • The company has not been referred to the Board for Industrial and Financial Reconstruction (BIFR).
  • The networth of the company has not been wiped out by the accumulated losses resulting in a negative   networth.
  • The company has not received any winding up petition accepted by a court.
 3) The applicant has paid dividend in atleast two out of the last three financial years immediately
  • Preceding the year in which listing application has been made OR
  • The networth of the applicant is atleast Rs. 50 crores***
*** Networth means:
o  Paid up equity capital
o  Reserves excluding revaluation reserve
o  Miscellaneous Expenses not written off
o  Negative balance in profit and loss account to the extent not set off

The above Clauses are not applicable to listing of securities issued by Government Companies, Public Sector Undertakings, Financial Institutions, Nationalised Banks, Statutory Corporations, Banking Companies and subsidiaries of scheduled commercial bank who are otherwise bound to adhere to all the relevant statutes, guidelines, circulars, clarifications etc. that may be issued by various regulatory authorities from time to time and in case of an Offer for Sale.

Back to Requirements with respect to listing of securities on a recognized stock exchange

Qualifications for Listing Initial Public offerings (IPOs) by Knowledge based Companies
Qualifications for Listing initial public offerings (IPOs)
Listing fees on NSE

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