Schneider Electric Withdraws Appeal Against SEBI Before SAT; Set To Relist On National Stock Exchanges
Schneider Electric President Systems Ltd, the French company, has decided to rejoin national stock exchanges after withdrawing its appeal against the Securities and Exchange Board of India (SEBI) before the Securities Appellate Tribunal (SAT). The company, through Senior Advocate Janak Dwarkadas, made an announcement on Wednesday that they will proceed with listing on a stock...
Schneider Electric President Systems Ltd, the French company, has decided to rejoin national stock exchanges after withdrawing its appeal against the Securities and Exchange Board of India (SEBI) before the Securities Appellate Tribunal (SAT).
The company, through Senior Advocate Janak Dwarkadas, made an announcement on Wednesday that they will proceed with listing on a stock exchange with nationwide reach. This move comes after their initial challenge against SEBI's 2021 order.
Justice Tarun Agarwala and technical member Meera Swarup have granted Schneider a six-month extension starting from July 26 to adhere to SEBI's order. Previously, Schneider was listed on the Bangalore and Pune stock exchanges.
The company found circulars which, as per Schneider's assertion, permitted them to delist from regional stock exchanges without adhering to SEBI's delisting regulations.
Shareholders owning around 9% of the company raised this concern with SEBI through Regstreet Law Advisors.
In response, SEBI argued that as Schneider qualified for listing on a nationwide stock exchange, it could not relax the delisting norms.
It proceeded to pass an order in February 2021, directing Schneider to relist itself.
SEBI, in its orders, instructed Schneider to list its equity shares on a stock exchange with nationwide terminals. Alternatively, SEBI allowed Schneider to delist the company as per the SEBI delisting regulations, which require providing an exit option to the investors of the company.
The company challenged the matter in the Bombay High Court, but the Court dismissed the petition, instructing Schneider to pursue its remedy before SAT (Securities Appellate Tribunal).
In 2021, Schneider appealed before SAT, but later decided to withdraw the appeal and stated that it would comply with the SEBI (Securities and Exchange Board of India) order within six months.
Case Title: Schneider Electric V. Sebi
Case No. Misc. Application No. 193 Of 2021 And Misc. Application No. 194 Of 2021 And Appeal No. 144 Of 2021
Date: 26.07.2023
Coram : Justice Tarun Agarwala, Presiding Officer Ms. Meera Swarup, Technical Member
Appearance:
Mr. Janak Dwarkadas, Senior Advocate With Mr. Kunal Dwarkadas, Ms. Anusha Jegadeesh, Ms. Trisha Sarkar And Ms. Ambareen Mujawar, Advocates I/B Azb & Partners For The Appellant
Mr. Mustafa Doctor, Senior Advocate With Mr. Manish Chhangani, Ms. Samreen Fatima, Mr. Sumit Yadav And Mr. Abhay Chauhan, Advocates I/B The Law Point For Respondent No.1.
Mr. Somasekhar Sundaresan, Advocate With Mr. Sumit Agrawal, Mr. Amit Agrawal, Mr. Rushin Kapadia, Ms. Radhika Yadav, Mr. Pratham Darad And Mr. Tarun Toprani, Advocates I/B Regstreet Law Advisors For Respondent Nos. 2 To 32.
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