Date, Oct-13-2008 Government of India is planning to create ICAI-like institute for IPO pricing to make it mandatory for the companies to get their shares priced by authorized valuers before coming to the capital markets. Government is taking this step due to the allegations of overpricing of initial public offers.
According to Prem Chand Gupta, Minister of Corporate Affairs "Rather than imposing direct or indirect conditions (on IPO pricing), we are working on professional valuation. It will be a new law on Valuation Professionals. We are working on it to get a system where valuation is done."
Currently, merchant bankers, chartered accountants, company secretaries, cost and work accountants or any other professional possessing such qualification are doing such valuations.
According to Prem Chand Gupta, Minister of Corporate Affairs "Rather than imposing direct or indirect conditions (on IPO pricing), we are working on professional valuation. It will be a new law on Valuation Professionals. We are working on it to get a system where valuation is done."
Currently, merchant bankers, chartered accountants, company secretaries, cost and work accountants or any other professional possessing such qualification are doing such valuations.
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