Emami says did not violate disclosure norm on promoter stake sale

Cogencis, Monday, Jul 1

MUMBAI – Emami Ltd said it has not violated any disclosure norms of the Securities Exchange Board of India when its promoters sold stake on Jun 24.

"We would like to state that there has been no violation of SEBI disclosure requirements and we have complied with all the legal requirements in terms of the disclosure," the company said in a statement to Cogencis on Saturday.

In 'SEBI Watch', an opinion piece published on Wednesday, Cogencis had said Emami had violated SEBI's Listing Obligations and Disclosure Norms, 2015, by not first reporting to the stock exchanges about the near 10% stake sale by the company's promoters before sharing the information on a business news channel.

On Jun 24, the company's promoters sold nearly 10% of their holding in the company through various bulk deals on the BSE. The company's Director Mohan Goenka appeared on the said business news channel before the press release was available on the stock exchanges.

However, Emami, in a statement, said: "The disclosure regarding the stake sale was disseminated to the stock exchanges well before the spokesperson appeared for any media interview."

Emami's press release on the transaction was made available on the stock exchanges at 1534 IST, while its representative appeared on the business news channel and disclosed the identity of the seller of 10% of company's equity around 1500 IST.

The BSE, in a press statement in March 2017, had claimed that the usual delay in the time it receives information from the company and its dissemination is around 2-10 seconds.

At 1118 IST, shares of Emami were up 1.4% at 303.35 rupees on the National Stock Exchange.  End

Reported by Chiranjivi Chakraborty

Edited by Ranjana Chauhan

Other News.

Outlook 2023: For corporate bond market, new year all about new regulations

Informist, Saturday, Dec 31, 2022 By Subhana Shaikh MUMBAI – For corporate bonds, the theme for the year 2022 was regulatory changes. For the coming year, it will be about how these will alter the landscape of a market that has traditionally struggled with issues such as lack of depth and limited participation. In 2022, the Securities and Exchange […]

WRAP: Equities singe as SEBI’s new margin norm spurs profit booking

Cogencis, Monday, Aug 31, 2020 By Chiranjivi Chakraborty MUMBAI – The staggering rally in domestic equities in the past few months suffered its biggest setback today as anticipation of implementation of a much-debated margin requirement regulation by the capital market regulator from Tuesday forced investors to take profits. Market participants blamed much of the selling […]

TREND: Consumer goods supply may hit logistic hurdles amid lockdown

Cogencis, Friday, Mar 27 By Surbhi Prasad and Yaruqhullah Khan BENGALURU/NEW DELHI – Despite the Centre and state governments assuring stable supply of essential commodities during the 21-day nationwide lockdown to contain the spread of COVID-19, logistic hiccups have emerged as a nightmare for fast-moving consumer goods companies. The lockdown has led to sealing of state borders, which […]