With an aim to boost transparency, capital markets regulator Sebi on Monday asked credit rating agencies to disclose lists of issuers who are non-cooperative with them.
This comes after Sebi observed over the time the number of issuers that are non-cooperative with CRAs (Credit Rating Agencies) have increased, with a vast majority of INC issuers being unlisted and small entities.
In this regard, to provide enhanced transparency and information regarding non-cooperative issuers to various stakeholders, market participants and investors, Sebi said, “CRA shall disclose two lists of issuers who are non-cooperative with the CRA, separately for securities that are listed, or proposed to be listed, on a recognised stock exchange, and other ratings.”
The list would be disclosed in a prescribed format and the disclosure would be updated on a daily basis, the Securities and Exchange Board of India (Sebi) said in a circular.
The new circular will be applicable with effect from July 15, 2023,
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