Sebi updates related party transaction regulations
SEBI is updating its rules on related party transactions (basically, deals companies make with their own insiders) to enhance transparency and reduce compliance burdens.
Starting September 2025, every listed company will need its CEO or a whole-time director plus the CFO to vouch that these deals are actually good for the company—no more promoter sign-offs needed.
What's the new requirement for big insider deals?
Now, if there's a big insider deal, companies have to share an independent valuation report with shareholders—just a click or scan away via web link or QR code.
This should help everyone see what's really going on behind the scenes.
SEBI is also making it simpler for companies
SEBI is also making it simpler for companies when reporting royalty payments by dropping some tricky comparison requirements.
These changes aim to keep things fair but less complicated for businesses and investors alike.