Archive · 11 Aug 2025
BSE Tightens Rules for SME Migration and Direct Listings
Small businesses wanting to list on the main stock exchange face stricter rules from BSE.
These rules ensure companies show they're making money, have more public investors, and actively trade their stocks.
The companies must prove they have minimum operating profit and net assets.
This is to improve the quality of listings, boost investor confidence and support economic growth.
The National Stock Exchange has also recently tightened its rules.
BSE has updated its rules for SMEs migrating to the mainboard and for direct listings.
Companies must now report operating profits of at least ₹15 crore over three years.
The minimum public shareholders required increased from 250 to 1,000.
Companies need to meet liquidity criteria for the past six months before listing.
Applicants must have net tangible assets of at least ₹3 crore each year for three years.
- Who
- The BSE is implementing new regulations for small and medium enterprises.
- What
- BSE has tightened listing norms for SMEs migrating to the mainboard and direct listings.
- When
- The rules were updated and published on August 11, 2025.
- Where
- The changes apply to the Bombay Stock Exchange (BSE).
- Why
- To improve transparency, disclosures, the quality of listings, boost investor confidence, and support economic growth.
- Exchange
- BSE
- Focus
- SME Listings & Direct Listings
- Operating Profit Requirement
- ₹15 crore over 3 years
- Minimum Public Shareholders
- 1,000
- Liquidity Requirement
- Trading in at least 5% of shares, traded on 80% of days in 6 months
- Net Tangible Assets
- ₹3 crore in each of the last 3 years
- Total SME Market Cap
- ₹75,000 crore
- SME Platform Companies Listed
- 600