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Covid-19: Investment banks seek QIP pricing norm relaxation to ease fundraising

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Mumbai: Investment banks have approached markets regulator Securities and Exchange Board of India (Sebi) for relaxation in pricing norms for one of India Inc's most preferred fundraising route -- qualified institutional placements -- to make it easier for listed companies to raise funds amid disruptions caused by the covid-19 pandemic.

Qualified institutional placement (QIP), is a fast track route that allows listed companies to raise capital from institutional investors through equity or equity-linked instruments.

In the five-year period from 2015 to 2019, corporate India raised ₹1.31 trillion from QIPs, data from primary market tracker Prime Database shows.

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