Corporatisation and Demutualisation of the Stock Exchange, Mumbai

BSE has always been committed to implementing international best practices. The Governing Board at its meeting held on the 16^th December 1999 decided to initiate the process of Corporatisation and Demutualisation of the Stock Exchange, Mumbai. Subsequently, the General Body of Members of the Exchange have noted and expressed the need for Corporatisation and Demutualisation of the Stock Exchange.

Accordingly, the Exchange had drafted a scheme for Corporatisation and Demutualisation of the Stock Exchange, Mumbai.

The Government has also taken a decision that all Stock Exchanges should demutualise.

A Corporatisation and Demutualisation Committee ("said committee") was formed by the General Body of Members of the Exchange for the purpose of further examining the process of Corporatisation and Demutualisation. The draft scheme prepared by the said Committee was placed before the Governing Board of the Exchange, at its meeting held on 18^th July, 2001, for its consideration.

After considering the draft scheme, the Governing Board has decided to form a sub-committee to further consider the process of Corporatisation and Demutualisation. The sub-committee shall comprise of the following members:

The sub committee shall consider and examine all the aspects of the draft scheme and the views expressed by the Members of the Governing Board and thereafter finalise a scheme for Corporatisation and Demutualisation of the Stock Exchange, Mumbai. The final scheme will shortly be presented before the Governing Board of the Exchange for its approval and onward submission to SEBI.

A. N. Joshi
Executive Director

July 19, 2001