IBBI PITCHES FOR MARKET DRIVEN INSTITUTIONAL MECHANISM FOR M&A AT PHD CHAMBER

Chairperson, Insolvency & Bankruptcy Board of India, Dr. M S Sahoo on Wednesday pitched for a market driven institutional mechanism to facilitate and enable mergers and acquisitions with minimum regulations that can conveniently safeguard the legitimate interests of concerned stakeholders.

Addressing a Conference on Mergers & Acquisitions – Growth Mechanism & The Regulatory Framework under aegis of PHD Chamber of Commerce and Industry here today, Dr. Sahoo said that India has already moved towards creating conditions for exit of business in a equitable and friendly manner under current dispensation.

“It is the same India which permitted conditions way back in 1991 to enter the business and subsequently from 2000 onwards, atmosphere was intensified and better facilitated to continue to do businesses with certain element of resolve.  India has also evolved from this situation and now already entered in to a regime in which exit of business is permitted with emphasis on ease of doing business”, pointed out Dr. Sahoo.

According to him, the Companies Act of 2013 gives fairly substantial power to professionals and business facilitators to make provisioning for mergers and acquisitions, though some scope of improvement on this front is still called for.

Therefore, a time has come for the state to consider setting up of a market driven institutional mechanism to address all the issues relating to mergers and acquisitions as these developments have begun to take off more often than not in the present and evolving corporate reality, he added without divulging detailing on the suggested institutional mechanism.

Among others who also spoke on the occasion comprised Sr. Vice President, PHD Chamber, Mr. Anil Khaitan; Central Council Member, ICSI, Mr. Ranjeet Pandey; Partner, P&A Law Offices, Mr. Anand Pathak; Partner, J Sagar Associates, Mr. Kartik Jain; Executive Partner, Lakshmikumaran & Sridharan, Ms. Shafaq Uraizee Sapre; Chairman and Co-Chairman, Corporate Affairs Committee, PHD Chamber, Dr. Lalit Bhasian and Dr. Chandrashekharan.