Sebi to get tough with companies with high promoter holding

Such firms also include Bajaj Corp, Essar Shipping, Essar Ports, Jaypee Infratech, Mahindra Holidays, Muthoot Finance, Adani Enterprises, Adani Ports, Oberoi Realty and JSW Energy.

Together, these companies would need to sell shares worth an estimated amount of more than Rs 30,000 crore to meet the required shareholding norms.

However, Sebi is worried over the fact that only a few companies have taken steps in the recent past to meet the requirement, although the market conditions have improved.

Some of the firms that have met the requirement in recent months include Godrej Industries, Muthoot Capital and Adani Power, while subsidiaries of a few multi-national companies have also announced plans to meet the deadline.

Among still non-compliant companies, some have said they intend to meet the deadline but no plans of action have been provided in most of the cases.

Of the total, more than 50 firms currently have a public holding of 10 per cent or below, making it difficult for them to meet the deadline, while around 30-40 companies would need to sell just one per cent or less shares to adhere to the

guidelines.

The public sector companies have time till August 2013 to achieve a minimum public shareholding of 10 per cent. Any action against the public sector companies would be discussed at a later stage as they have more time in hand and the minimum public shareholding limit is also lower in their case.

Also, the number of PSU firms

... contd.