Indian Depository Receipts:A framework for delisting

This is a discussion paper, prepared by IiAS to obtain market feedback on the proposed policy framework for delisting.

To provide an easy window for multinational companies (MNCs) to delist, whereby, instead of cash, Indian Depository Receipts (IDR) of the parent company may be issued to buy out the stake of public shareholders of the listed Indian entity (refer figure below). This note highlights the pros and cons of such a framework in greater detail.

To read the full report, click here.