Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) (Amendment) Regulations, 2020 are notified by SEBI on 16th June 2020 vide Notification No. SEBI/LAD-NRO/GN/2020/14. Vide this Notification SEBI has amended sub-regulation (2) of Regulation 3 and  sub-regulation (1) of Regulation 6. Analysis of SEBI (SAST) Amendment Regulation, 2020 is as follows:-

SEBI (SAST) Amendment Regulation, 2020

Section 30 of the SEBI Act, 1992

Regulation 3 of SEBI (SAST) Regulations, 2011

Reg. 3(1) No acquirer along with PAC shall acquire share or voting rights in a target company taken together with shares or voting rights held by him or together with PAC entitled them to exercise 25% or more, unless a Public announcement has made. Reg. 3(1) No acquirer along with PAC shall acquire share or voting rights in a target company taken together with shares or voting rights held by him or together with PAC entitled them to exercise 25% or more, unless a Public announcement has made.
Reg. 3(2) No acquirer along with PAC shall acquire share or voting rights in a target company taken together with shares or voting rights held by him or together with PAC entitled them to exercise 25% or more but less than maximum permissible non public shareholding , in any financial year additional shares or voting rights entitled them to exercise more than 5% of the voting right unless acquirer makes a public announcement. Reg. 3(2) No acquirer along with PAC shall acquire share or voting rights in a target company taken together with shares or voting rights held by him or together with PAC entitled them to exercise 25% or more but less than maximum permissible non public shareholding , in any financial year additional shares or voting rights entitled them to exercise more than 5% of the voting right unless acquirer makes a public announcement.
Proviso Provided that acquirer shall not be entitled to acquire or enter into  any agreement to acquire shares or voting rights  exceeding such number of shares as would take the aggregate shareholding pursuant to the acquisition above the maximum permissible non-public shareholding. New Proviso Provided that the acquisition beyond five per cent but upto ten per cent of the voting rights in the target company shall be permitted for the financial year 2020-21 only in respect of acquisition by a promoter pursuant to preferential issue of equity shares by the target company.”
Reg 3(3) Acquisition of shares by any person in sub regulation (1) & (2) , such that individual shareholding of such person exceeds stipulated threshold limit, shall also attached an obligation to make an open offer for acquiring shares of the target company. Existing Proviso Provided that acquirer shall not be entitled to acquire or enter into  any agreement to acquire shares or voting rights  exceeding such number of shares as would take the aggregate shareholding pursuant to the acquisition above the maximum permissible non-public shareholding.
Reg. 3(4) The provisions of this regulations shall not applicable to acquisition of shares or voting rights of a company by the promoters or shareholders in control, in terms of the chapter VI-A of SEBI (ICDR) Regulations, 2011. Reg 3(3) Acquisition of shares by any person in sub regulation (1) & (2) , such that individual shareholding of such person exceeds stipulated threshold limit, shall also attached an obligation to make an open offer for acquiring shares of the target company.
Reg. 3(4) The provisions of this regulations shall not applicable to acquisition of shares or voting rights of a company by the promoters or shareholders in control, in terms of the chapter VI-A of SEBI (ICDR) Regulations, 2011.

SEBI (SAST) Regulations, 2011

Reg. 6(1) An  acquirer,  who  together with  persons  acting  in  concert  with  him,  holds  shares  or  voting  rights  in  a  target company  entitling  them  to  exercise  25%  or  more  but  less  than  the  maximum  permissible  non-public shareholding,  shall  be  entitled  to  voluntarily  make  a  public  announcement  of  an  open  offer  for  acquiring  shares  in  accordance  with  these  regulations,  subject  to  their  aggregate shareholding  after  completion  of  the  open  offer  not  exceeding  the  maximum permissible non – public shareholding: Reg. 6(1) An  acquirer,  who  together with  persons  acting  in  concert  with  him,  holds  shares  or  voting  rights  in  a  target company  entitling  them  to  exercise  25%  or  more  but  less  than  the  maximum  permissible  non-public shareholding,  shall  be  entitled  to  voluntarily  make  a  public  announcement  of  an  open  offer  for  acquiring  shares  in  accordance  with  these  regulations,  subject  to  their  aggregate shareholding  after  completion  of  the  open  offer  not  exceeding  the  maximum permissible non – public shareholding:
1st Proviso Provided that where an acquirer or any person acting in concert with  him  has  acquired  shares  of  the  target  company  in  the  preceding  52  weeks  without attracting the obligation to make a public announcement of an open offer, he  shall  not  be  eligible  to  voluntarily  make  a  public  announcement  of  an  open  offer for acquiring shares under this regulation 1st Proviso Provided that where an acquirer or any person acting in concert with  him  has  acquired  shares  of  the  target  company  in  the  preceding  52  weeks  without attracting the obligation to make a public announcement of an open offer, he  shall  not  be  eligible  to  voluntarily  make  a  public  announcement  of  an  open  offer for acquiring shares under this regulation
2nd Proviso Provided further that during the offer period such acquirer shall not  be entitled to acquire any shares otherwise than under the open offer. New Point insert The relaxation from the first proviso is granted till March 31, 2021
Reg. 6(2) An acquirer and PAC with him, shall not entitled to acquire any share of the target company for a period of 6 Months after completion of Offer except pursuant to another Voluntary offer. Reg. 6(2) An acquirer and PAC with him, shall not entitled to acquire any share of the target company for a period of 6 Months after completion of Offer except pursuant to another Voluntary offer.
Proviso Provided  that such restriction shall not prohibit the acquirer from making a  competing  offer  upon  any  other  person  making   an open  offer  for  acquiring shares of the target company Proviso Provided  that such restriction shall not prohibit the acquirer from making a  competing  offer  upon  any  other  person  making   an open  offer  for  acquiring  shares of the target company
Reg 6(3) Shares  acquired  through  bonus  issue  or  stock  splits  shall  not  be  considered  for purposes of the dis-entitlement set out in this regulation. Reg 6(3) Shares  acquired  through  bonus  issue  or  stock  splits  shall  not  be  considered  for purposes of the dis-entitlement set out in this regulation.
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  1. Biyyapu Sreenivasa Rao says:

    wHEN I AM FILING IEPF-5 FORM MY PAN NUMBER VERIFICATION IS NOT BEING DONE DUE TO THE REASON MY INITIAL IS NOT MATCHING THOUGH IT IS CORRECTLY MENTIONED.
    HOW DO I DO IT?

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