Luxembourg Stock Exchange is unlikely to change rules for listing GDRs of unlisted Indian companies even though it currently provides a platform for a large number of GDRs of listed Indian entities.
Gaston Stronck, Ambassador of Luxembourg to India, told Business Line here on Thursday that there was no question of diluting the standard eligibility criteria.
“Generally, the listed issuers are preferred as they are found to meet the criteria well. After all, the norms for an issuer of tradable security cannot be negotiable,” he added. He, however, said that no proposal in response to SEBI’s recent move to allow unlisted Indian companies to access overseas capital markets through GDRs had come up for listing on the Luxembourg exchange. He said this on the sidelines of an event, organised by the MCC Chamber of Commerce.
GDRs of some 169 Indian companies are listed on the Luxembourg bourse - the biggest contingent of foreign GDR issuers on the bourse. The bourse has an index for GDRs of Indian companies. There are 89 India-centric funds registered in Luxembourg, he said.