In continuation toPart I of the article published recently, we are pleased to share that our article titled“IPO commitments and investor protection: When can companies alter their stated Objects of the Offer? – Part II” authored by Managing Associate, Kshitij Asthanaand Associate, Ashutosh Anandhas been published onBar and Bench.
The article examines the legal and regulatory framework governing post-listing variations in the objects of an IPO, with a focus on:
· Shareholder approval requirements under Section 27 of the Companies Act, 2013;
· Disclosure and compliance obligations under the SEBI LODR and SEBI ICDR Regulations;
· Exit rights available to dissenting shareholders;
· Procedural safeguards relating to utilisation and diversion of IPO proceeds; and
· The broader investor protection rationale underlying the framework.
The piece highlights how regulatory scrutiny intensifies once public funds are raised, ensuring that deviations from stated IPO objects remain subject to transparency, shareholder oversight, and investor safeguards.
Read Part II of this insightful article series now at
