Sebi expands debt maturity limits to help issuers manage cash flow

What happened: Sebi issued a circular raising the maximum number of ISINs that can mature annually for privately placed debt securities from 14 to 17, effective immediately. It also eased listing norms for small-value debt issuers. Key numbers: ISIN maturity cap rises from 14 to 17. Up to 12 plain vanilla debt securities allowed. Why it matters: Sebi said the move helps companies, especially NBFCs, manage cash flows and prevent debt repayments from bunching up. Market participants had told Sebi that current limits hamper liquidity management and worsen asset-liability mismatches.

Sebi issued a circular raising the maximum number of ISINs that can mature annually for privately placed debt securities from 14 to 17, effective immediately. It also eased listing norms for small-value debt issuers.

Sebi said the move helps companies, especially NBFCs, manage cash flows and prevent debt repayments from bunching up. Market participants had told Sebi that current limits hamper liquidity management and worsen asset-liability mismatches.