Following a relaxation by the Securities and Exchange Board of India (SEBI) on IPO validity periods, stock exchanges have extended similar relief to SME issuers, offering a cushion to companies delaying public issues due to volatile market conditions.
Both the National Stock Exchange of India (NSE) and the BSE have announced a one-time extension of in-principle approvals for SME listings that are nearing expiry. The move aligns with SEBI’s circular issued on Tuesday, which allowed flexibility for issuers facing challenges in tapping the capital markets.
NSE said the validity of in-principle approvals for listings on NSE Emerge expiring between April 1 and September 30, 2026, will be extended until September 30, 2026. The extension is subject to an undertaking from the lead manager confirming compliance with ICDR regulations at the time of filing the offer document. BSE has issued a similar circular for its SME platform.
Around 10–15 SME IPOs had approvals nearing expiry, which will have the flexibility to wait for improved market conditions.
SEBI said the relaxation follows representations citing fundraising challenges amid global uncertainties, including geopolitical tensions, which have led several companies to defer or withdraw IPO plans.