Sebi has given conditional approval for the IPO of RBL Bank. A final sanction will come soon, according to news reports. The bank is expecting to come out with the IPO in September. The bank, which had filed its draft prospectus with Sebi in June 2015, has been waiting for the approval for almost 10 months now. The regulator had held back the approval citing instances of the bank issuing securities in the past to more subscribers than prescribed under the Companies Act 2013. The bank in its draft prospectus had mentioned that in 2003 and 2006, it had issued shares to more than 200 subscribers. The previous board had allotted shares via rights issues to 2,591 investors in February 2003. It further allotted shares to 1969 investors through another rights issue in February 2006. These share issues do not comply with the new rules.
