(1)

An issuer shall be eligible to make an issue of IDRs only if:

(a) the issuing company is listed in its home country for at least three immediately preceding years;

(b) the issuer is not prohibited to issue securities by any regulatory body;

(c) the issuer has a track record of compliance with the securities market regulations in its home country;

(d) any of its promoters or directors is not a fugitive economic offender.

(2)

The issue shall be subject to the following conditions:

(a) issue size shall not be less than fifty crore rupees;

(b) at any given time, there shall be only one denomination of IDRs of the issuer.

(c) issuer shall ensure that the underlying equity shares against which IDRs are issued have been or will be listed in its home country before listing of IDRs in stock exchange(s).

(d) issuer shall ensure that the underlying shares of IDRs shall rank pari passu with the existing shares of the same class.

(3)

The issuer shall ensure that:

(a) it has made an application to one or more stock exchanges to seek an in-principle approval for listing of the IDRs on such stock exchanges and has chosen one of them as the designated stock exchange, in terms of Schedule XIX;

(b) it has entered into an agreement with a depository for dematerialisation of the IDRs proposed to be issued;

(c) it has made firm arrangements of finance through verifiable means towards seventy five per cent. of the stated means of finance for the project proposed to be funded from issue proceeds, excluding th amount to be raised through the proposed issue of IDRs or through existing identifiable internal accruals, have been made.

(4)

The amount for general corporate purposes, as mentioned in objects of the issue in the draft offer document and the offer document, shall not exceed twenty five per cent. of the amount being raised by the issuer.