Question

    Which of the following is NOT a requirement for an SME

    to issue an IPO and get listed on the exchange under the specified eligibility criteria?  
    A The SME must have a face value (post-issue paid-up capital) of up to ₹25 Crore Correct Answer Incorrect Answer
    B The SME must have a minimum of three years of track record if it was converted from a partnership, proprietorship, or LLP Correct Answer Incorrect Answer
    C The SME must maintain a minimum paid-up capital of ₹50 Crore after the issue Correct Answer Incorrect Answer
    D The SME must have net tangible assets worth at least ₹1.5 Crore Correct Answer Incorrect Answer
    E The SME should have a website and agree to trade in Demat securities Correct Answer Incorrect Answer

    Solution

    The requirement for the  face value of the post-issue paid-up capital  is capped at ₹25 Crore, not ₹50 Crore. This makes o ption D the incorrect statement. All other listed criteria are part of the eligibility requirements for an SME to issue an IPO and get listed.  

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