What are the requirements to list a company in Indian stock exchange?

In order to list a company on a stock exchange in India, the company must meet certain eligibility requirements set by the Securities and Exchange Board of India (SEBI) and the stock exchange. Some of the key requirements for listing a company on an Indian stock exchange include:

Minimum share capital: The company must have a minimum paid-up capital of INR 3 Crore and a minimum free reserves of INR 3 Crore.


Minimum number of shareholders: The company must have a minimum of seven shareholders.


Minimum public shareholding: The company must have a minimum public shareholding of 25% of the total paid-up capital.


Financials: The company must have a minimum three years of profit-making track record and should have a net tangible assets of INR 3 crore.


Compliance: The company must comply with the various regulations and guidelines issued by SEBI, such as the listing agreement, insider trading regulations, and corporate governance norms.


Shareholding pattern: The company should not have any single shareholder with more than 25% of the total paid-up capital.


Due Diligence: The company must submit a due diligence report prepared by a merchant banker as a part of listing process.


Approval from stock exchange: The company must get its listing application approved by the relevant stock exchange, such as the Bombay Stock Exchange or the National Stock Exchange.

Once these requirements have been met, the company must then submit a listing application and the necessary documents to the relevant stock exchange. After reviewing the application, the stock exchange will then decide whether to approve or reject the listing application.

It is important to note that these are general requirements and the process of listing can be bit more complicated, requiring more documents and approvals. Furthermore, The rules and regulations are subjected to change and it is always recommended to consult with a professional or the stock exchange for the most current listing requirements.