A listed issuer of non-convertible securities receives a CREDIT-RATING DOWNGRADE below investment grade, a material event for its listed debt. Under the SEBI (Issue and Listing of Non-Convertible Securities) Regulations, 2021, the issuer must:

The NCS Regulations, 2021 impose CONTINUING OBLIGATIONS on a listed issuer, including the DISCLOSURE of material events - of which a credit-rating downgrade is a leading example - to the stock exchange promptly and within the prescribed timeline. A downgrade below investment grade is price-sensitive for the listed debt and must be revealed to investors without delay; the debt may also be subjected to the exchange's surveillance/reclassification measures. Concealment or deferral to the annual report is impermissible. Timely disclosure of rating actions is therefore a core continuing obligation of the debt-listing regime.