MCA Amends Companies (Indian Accounting Standard) Rules, 2015
The Ministry of Corporate Affairs (“MCA”) via a notification dated March 28, 2018 amended the Companies (Indian Accounting Standard) Rules, 2015, which govern the prescribed standards of accounting adopted by companies in India.
RBI Notifies Regulations on Cross-Border Mergers
The Reserve Bank of India via notification no. FEMA 389/2018-RB dated March 20, 2018 has notified Foreign Exchange Management (Cross Border Merger) Regulations, 2018 (“Regulations”). The Regulations shall govern cross-border mergers between Indian companies and foreign companies in accordance with the Companies (Compromises, Arrangements and Amalgamations) Rules, 2016. The Regulations deal with issue/acquisition of securities pursuant to cross-border mergers, setting up of office outside India, conditions on borrowings, transfer of assets/securities not permitted to be acquired/held, valuation of companies involved in cross-border mergers, reporting and deemed approval of cross-border mergers.
SEBI Increases ‘Angel Funding’ Limit
The Securities and Exchange Board of India has approved amendments to SEBI (Alternative Investment Funds) Regulations, 2012 in order to increase the extant investment limit by angel funds in venture capital undertakings from USD 770,500 to USD 1,500,000. Watch this space for more details on the full corpus of amendments along with the proposed amendment to the controversial ‘Angel Tax’ rule.