SEBI’s June 2025 Board Meeting – What It Means for Markets, Startups & Investors

SEBI (Securities and Exchange Board of India) recently held an important board meeting on June 18, bringing in some major changes that aim to make India’s financial markets simpler, smarter, and more accessible for everyone—from government-owned companies to global investors, startups, and financial advisors.

These changes are not just policy updates. They open new doors for businesses, make things easier for investors, and improve transparency in the Indian financial system. And that’s exactly where experts like ValuGenius come in—guiding you through complex market shifts with clear insights and reliable valuation services.

Whether you’re a startup founder, an investor, or part of a financial planning company in Mumbai, here’s what you need to know from SEBI’s latest reforms:

Top Takeaways You Shouldn’t Miss

1. Easier Exit for Government Companies (PSUs)

If a government owns 90% or more of a company, it can now delist (or exit the stock market) more easily. No need to get two-thirds of public shareholders to agree. This move supports faster disinvestment and could boost the valuation of such PSUs.

2. Good News for Startup Founders with ESOPs

Founders can now keep their Employee Stock Ownership Plans (ESOPs) even after the company goes public. There’s a one-year gap rule between getting ESOPs and filing for an IPO, which helps prevent misuse and keeps things fair for investors.

3. Merchant Bankers Get More Flexibility

SEBI now allows merchant bankers to offer other services (not regulated by SEBI) under the same company. Earlier, they had to create a separate firm for that. This saves cost and effort—great news for growing financial planning companies in Mumbai.

4. Easier for Foreign Investors in Government Bonds

If an investor is only interested in Indian government bonds, SEBI has reduced paperwork and made registration simpler. This could bring more foreign money into the country, which may indirectly improve India’s economic valuation.

5. Reworking Charges in the Market

SEBI wants to separate trading and clearing charges. A new working group will explore how to do this fairly. It may lead to lower costs and better clarity for investors.

6. One-Time Settlement for Old Legal Cases

SEBI is offering a settlement scheme for brokers involved in the NSEL scam and others who violated older venture capital fund rules. It could help close 300+ pending cases and give the market a fresh start.

7. Faster Capital Raising for Big Investors (QIPs)

SEBI is cutting down unnecessary paperwork in the Qualified Institutional Placement (QIP) process. This will help companies raise money more quickly and efficiently.

8. Mandatory Demat for Key Company People

Before launching an IPO, all key individuals must now convert their shares to demat form (digital format). This ensures smoother trading and more transparency.

9. Relaxed Rules for Research Analysts & Advisors

Liquid and overnight mutual funds can now be used to meet deposit rules by Research Analysts (RAs) and Investment Advisors (IAs). This makes compliance easier for professionals.

10. More Co-Investment Options in AIFs

SEBI is allowing co-investments under Alternative Investment Funds (AIFs) through a new model. Investors will now have more flexibility while protecting the interest of all parties involved.

REITs, InvITs, and the Social Stock Exchange Get a Boost

SEBI has raised investment limits in REITs (Real Estate Investment Trusts) and InvITs (Infrastructure Investment Trusts) from 10% to 20% in equity schemes. These instruments will now be seen as equity investments in indices, offering more options to mutual funds and investors.

The Social Stock Exchange framework is also being expanded to help non-profits and social enterprises raise funds with fewer restrictions and better disclosures.

Why It Matters – and Where ValuGenius Comes In

For valuation businesses like ValuGenius, these changes create a more dynamic landscape. Whether it’s determining the right value of a startup using ESOPs, or supporting financial planning companies in Mumbai navigate REITs and InvITs, these reforms will have a lasting impact.

Valuation in India is evolving. With new rules, simplified processes, and better investor protections, the capital markets are more ready than ever. And ValuGenius is here to help businesses, startups, and investors make smart, confident decisions with expert valuation and financial planning support.