Question
What is the requirement for a person to acquire or hold
more than five percent of the paid-up equity share capital of a depository, as mentioned in Regulation 22 (3) of Securities and Exchange Board of India (Depositories and Participants) Regulations, 2018?Solution
As per Reg 22- (3) Any person eligible to acquire or hold more than five percent of the paid up equity share capital under sub-regulation (1) and sub-regulation (2) of regulation 21 may acquire or hold more than five percent of the paid up equity share capital of a depository only if the person has obtained prior approval of the Board.
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