Clarification on the news item published in the PTI Report

Oct 10, 2007
News Clarifications


October 10, 2007


The Regional Manager

Press Trust of India

Dr. D. N. Road

Mumbai – 400 001




Sub: Clarification


This is with reference to the Mumbai datelined PTI report of October 9, 2007, on Chairman’s address at the IIFT- FICCI seminar yesterday at Mumbai, which has been carried in various newspapers today. In the PTI story it has inter-alia been written, “ SEBI’s fast track QIPs clearance will be based on the well-known seasoned issuers or WKSIs model followed in the US market …”. In this connection, we would like to clarify as follows:


“Qualified Institutions Placement (QIP) and Fast Track Issuance of securities (FTIs) are two different issues. What Chairman, SEBI said was the Primary Market Advisory Committee has suggested some changes to QIP (an existing product) which would be taken to the SEBI Board for approval. On the FTIs, he said that the framework for FTIs is expected to be ready by the end of October. FTIs, are on the lines of Well Known Seasoned Issuers (WKSIs) in the United States, by which listed companies can raise capital by filing the prospectus with SEBI and stock exchanges and proceed with the issue without waiting for any clearance.”

It is requested that the above clarification may be published immediately to put the record straight.


Thanking you,


Yours faithfully,

for Securities and Exchange Board of India


N. Hariharan

Dy. General Manager (Communications)