Market participants have feared that
India’s most promising tech companies would list
abroad due to local exchange rules. It’s hoped
that a new regime will encourage them to stay at home
The country’s start-up industry is
considered one of its most promising, with companies such as
Snapdeal and Flipkart receiving international recognition.
According to Bain & Company’s 2015 India Private Equity Report deal volume last
year grew by 14%; that was driven by the consumer technology
But it was nearly impossible for those investors to
exit via local stock markets due to regulations’
focus on promoters. Rules issued in June by the Securities and
Exchange Board of India (Sebi) might help by creating an
entirely new platform for high-growth companies.
"One of the issues is that over the past decade, a lot of
private equity investment has come into this country, but the
only exit available...