Mumbai, September 30:
The Securities and Exchange Board of India (SEBI) has issued an administrative warning to Godrej Agrovet Limited for lapses in timely disclosures related to its indirect acquisition of Astec Lifesciences Limited.
SEBI’s Findings
In a letter dated September 29, SEBI observed that Godrej Agrovet failed to comply with mandatory disclosure requirements under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The violations were linked to delayed filings of shareholding changes that exceeded 2% of Astec Lifesciences’ equity.
The regulator highlighted four specific instances:
- February 9, 2017 – delay of 2,725 days
- March 20, 2019 – delay of 383 days
- February 28, 2020 – delay of 39 days
- March 27, 2020 – delay of 11 days
Regulator’s Action
While SEBI stopped short of imposing monetary penalties, it cautioned Godrej Agrovet to ensure strict compliance with disclosure norms in the future. The regulator also warned that any repeat violations would invite serious enforcement measures under the SEBI Act and related regulations.
Company’s Response
Godrej Agrovet clarified that the warning will not materially impact its financial performance or operations. The company stated that it is committed to adhering to all regulatory requirements going forward.
Summary
SEBI has issued a warning to Godrej Agrovet for delayed disclosures related to its indirect acquisition of Astec Lifesciences, with lapses spanning four transactions between 2017 and 2020 and delays of up to 2,725 days. While no monetary penalty was imposed, the regulator has cautioned the company to ensure timely compliance in the future, warning of stricter enforcement for repeat violations. Godrej Agrovet has maintained that the warning has no material impact on its business or financials.
Disclaimer:
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