Saturday, May 11, 2024

Ads by Google

Ads by Google

HomeNewsJM Financial share price falls 8% after SEBI's decision on new debt...

JM Financial share price falls 8% after SEBI’s decision on new debt issues: Details

Mar 11, 2024 11:22 AM IST

JM Financial share price: SEBI said that JM Financial may continue to act as a lead manager for public issue of debt securities for a period of 60 days

JM Financial share price: JM Financial shares fell 8 per cent on March 11 after the Securities and Exchange Board (SEBI) barred the company from taking any new mandate for acting as a lead manager for any public issue of debt securities. Although, SEBI said that JM Financial may continue to act as a lead manager for public issue of debt securities for a period of 60 days. Citing material based on record, the capital markets regulator said that the investigation into the matter would be completed in six months.

JM Financial share price: JM Financial share price fell 8 per cent. Here's why
JM Financial share price: JM Financial share price fell 8 per cent. Here’s why

Read more: Tata Chemicals shares fall 10% after last week’s rally. Here’s why there has been a U-turn

There has been an investigation into the roles of parent company and merchant banker JM Financial’s wholly-owned subsidiary and broker JM Financial Services and subsidiary as well as a non-banking financial corporation JM Financial Products in a debt issue.

Hindustan Times – your fastest source for breaking news! Read now.

Read more: HDFC Bank share price falls 1.16% after CLSA downgrades stock: What’s happening?

Earlier, the Reserve Bank of India (RBI) stopped JM Financial Products from giving loans against shares and debentures. This included sanction and disbursal of loans against initial public offering of shares with immediate effect, the central bank said.

Read more: IndiGo founder Rakesh Gangwal’s $795 million block sale: Effect on share prices

The RBI said that the action was taken after observing certain serious deficiencies in the firm’s loan process as it said that were concerns on the governance issues in the company apart from violation of regulatory guidelines.

Since March 5, shares of JM Financial have fallen more than 8 per cent to 87.7 apiece on the NSE.

Unlock a world of Benefits with HT! From insightful newsletters to real-time news alerts and a personalized news feed – it’s all here, just a click away!- Login Now!
Stay informed on Business News along with Gold Rates Today, India News and other related updates on Hindustan Times Website and APPs

  • ABOUT THE AUTHOR
    author-default-90x90

    Follow the latest breaking news and developments from India and around the world with Hindustan Times’ newsdesk. From politics and policies to the economy and the environment, from local issues to national events and global affairs, we’ve got you covered.