Regulation 238 - Lock-in of specified securities held by the promoters - Securities And Exchange Board of India (Issue Of Capital And Disclosure Requirements) Regulations, 2018

PART IV: LOCK-IN AND RESTRICTIONS ON TRANSFERRABILITY Lock-in of specified securities held by the promoters 238. The specified securities held by the promoters shall not be transferable (hereinafter referred to as lock-in ) for the periods as stipulated hereunder: a) minimum promoters contribution including contribution made by alternative investment funds or foreign venture capital investors or scheduled commercial banks or public financial institutions or insurance companies registered with Insurance Regulatory and Development Authority of India 1 [ or any non-individual public shareholder holding at least five per cent. of the post-issue capital or any entity (individual or non-individual) forming part of promoter group other than the promoter(s) ] , as applicable, shall be locked-in for a period of three years from the date of commencement of commercial production or date of allotment in the initial public offer, whichever is later; b) promoters holding in excess of minimum promoters contribution shall be locked-in 2 [ as follows: ] 3 [ (i) fifty percent. of promoters holding in excess of minimum promoters contribution shall be locked in for a period of two years from the date of allotment in the initial public offer; and (ii) remaining fifty percent. of promoters holding in excess of minimum promoters contribution shall be locked in for a period of one year from the date of allotment in the initial public offer. ] Explanation: For the purposes of this clause, the expression date of commencement of commercial production means the last date of the month in which commercial production of the project in respect of which the funds raised are proposed to be utilised as stated in the offer document, is expected to commence. *************** NOTES:- 1. Inserted vide Notification No. SEBI/LAD-NRO/GN/2024/178 dated 17-05-2024 2. Substituted vide F. No. SEBI/LAD-NRO/GN/2025/233 dated 03-03-2025 w.e.f. 03-03-2025 (For effective date in certain cases see Notification) before it was read as, for a period of one year from the date of allotment in the initial public offer 3. Inserted vide F. No. SEBI/LAD-NRO/GN/2025/233 dated 03-03-2025 w.e.f. 03-03-2025 (For effective date in certain cases see Notification)