Leading bourse BSE has tightened eligibility norms for companies seeking to list on its small and medium exchange (SME) platform, which includes mandatory visit by exchange officials to companies' premises.
In a circular, BSE said a visit to the company seeking to list on its SME's platform would be undertaken by the exchange before granting of approval to use its name in the offer document.
Besides, companies are required to file a compliance certificate by a practising Company Secretary as per the guidance note issued by the Institute of Company Secretaries of India (ICSI) as and when such a certification is made applicable by the SME Platform of BSE.
BSE said in case a company plans to migrate from its SME platform to the the main exchange, firms are required to trade on the SME section for a minimum period of two years.
"The companies have to be mandatorily listed and traded on the SME Platform for a minimum period of two years and only after that they can migrate on to the Main Board as per the guidelines specified by Sebi," the exchange said.
BSE launched its SME platform for small and medium enterprises in March this year and since then it has been receiving very positive response and 11 companies have already got listed in this segment