mandatory dematerialization for transfer of securities

SEBI has made amendment to Regulation 40 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 with respect to mandatory dematerialization for transfer of securities. Pursuant to the aforesaid amendment to SEBI (LODR) Regulation, 2015 Listed Companies and their Registrars and Transfer Agents (RTAs) are advised to ensure that shares which are lodged for transfer are mandatory in dematerialized form with effect from December 05, 2018. Further, the companies and RTA are advised to sensitise the impact of the regulation on the transfer of shares held by them in physical form w.e.f 05/12/2018 by sending atleast 2 reminders. Further, the Listed Companies shall prominently place information on their website and should ensure that the signature cards of all the holders of physical securities are handed over to its RTA at the earliest.