Regulation 14 - Minimum subscription - Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009

Minimum subscription. 14. (1) The minimum subscription to be received in an issue shall not be less than ninety per cent. of the offer through offer document 1 [:] 2 [Provided that in the case of an initial public offer, the minimum subscription to be received shall be subject to allotment of minimum number of specified securities, as prescribed in sub-clause (b) of clause (2) of rule 19 of Securities Contracts (Regulation) Rules, 1957.] (2) In the event of non-receipt of minimum subscription referred to in sub-regulation (1), all application moneys received shall be refunded to the applicants forthwith, but not later than: (a) fifteen days of the closure of the issue, in case of a non-underwritten issue; and (b) seventy days of the closure of the issue, in the case of an underwritten issue where minimum subscription including devolvement obligations paid by the underwriters is not received within sixty days of the closure of the issue. (3) The offer document shall contain adequate disclosures regarding minimum subscription as specified in Part A of Schedule VIII. 3 [(4) Nothing contained in this regulation, except the requirement relating to allotment of minimum number of specified securities, shall apply to offer for sale of specified securities.] Explanation: For the purpose of clause (b) of sub-regulation (4), the term infrastructure company means, an enterprise wholly engaged in the business of (i) developing or (ii) operating and maintaining or (iii) developing, operating and maintaining any infrastructure facility. ***** 1 Substituted for . , by the SEBI (Issue of Capital and Disclosure Requirements) (Third Amendment) Regulations, 2012, w.e.f. 24.8.2012. 2 Inserted by the SEBI (Issue of Capital and Disclosure Requirements) (Third Amendment) Regulations, 2012, w.e.f. 24.8.2012. 3 Substituted for the existing clause (4) by the SEBI (Issue of Capital and Disclosure Requirements) (Third Amendment) Regulations, 2012, w.e.f. 24.8.2012. Prior to substitution clause (4) read as under: (4) Nothing contained in this regulation shall apply to: (a) offer for sale of specified securities; (b) public issue by infrastructure companies if the disclosures regarding the alternate source of funding of the objects of the issue have been made in the offer document.