SEBI on 13th july 2010 issued a circular about IPO application supported by blocked amount. In this circular SEBI perposes these things.
CIR/CFD/DIL/7/2010 July 13, 2010To All Stock Exchanges
To All Registered Merchant Bankers
To All Registered Registrars to an Issue
To All Registered Bankers to an Issue
Sub.: Applications Supported by Blocked Amount (ASBA) facility in public issues
1. It has been decided to make ASBA bid-cum application forms available for
download and printing, from websites of the Stock Exchanges which provide
electronic interface for ASBA facility i.e. Bombay Stock Exchange (BSE) and
National Stock Exchange (NSE). The ASBA forms so downloaded shall have a
unique application number and can be used for making ASBA applications in public
issues. A sample of the form is enclosed at Annexure A.
2. In order that the Stock Exchanges fill up essential details of an issue, the Merchant
Banker to the issue shall ensure that the following details are provided to the Stock
Exchanges at least two days before opening of the public issue:
a. Company Name
b. Type of issue
c. Issue opening date
d. Issue closing date
e. Price/ price band
f. Bid lot
g. Other relevant details
h. Soft copy of prospectus/abridged prospectus
3. The Stock Exchanges shall ensure the following :
a. The details furnished by the Merchant Banker to the issue are duly filled in
the ASBA form for a specific public issue, before making the same available
b. The ASBA form for a specific public issue is made available on the websites
of the Stock Exchanges at least one day before opening of the public
c. A unique application number for an issue is generated for every ASBA form
downloaded and printed from the websites.
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d. Investors have online access to soft copy of the abridged
prospectus/prospectus of the public issue.
e. For revisions of bids, investors can take print of a bid revision form.
4. Merchant Bankers and SCSBs are directed to provide a hyperlink to BSE or NSE
websites for this facility on their websites.
5. All intermediaries are directed to comply with the instructions contained in this
6. This circular shall be applicable to all public issues opening on or after July 19,
7. This circular is issued in exercise of the powers conferred under Section 11 read
with Section 11A of the Securities and Exchange Board of India Act, 1992.
8. This circular is available on SEBI website at www.sebi.gov.in under the categories
“Legal Framework” and “Issues and Listing”.