INDOSTARNSEIndoStar Capital Finance LimitedHighNegative
Announced Mon, 25 May · 19:46 IST

IndoStar Capital Finance Limited has informed the Exchange about Order passed by SEBI for cancellation certificate of registration of IndoStar Recurring Return Credit Fund, a Category II Alternative Investment Fund ( AIF )

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Price reaction · full curve 14 horizons · vs prior close
+11.8%1-day move
₹210.65
prior close
₹212.00
base price
After-mkt
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AI summary

SEBI has passed an order for cancellation of the certificate of registration of IndoStar Recurring Return Credit Fund, a Category II Alternative Investment Fund. The action was taken due to non-filing of quarterly activity reports by the AIF for four quarters. IndoStar Capital Finance acted as the Sponsor while its wholly-owned subsidiary IndoStar Asset Advisory Private Limited acted as the Investment Manager. The company has clarified that the AIF remained inoperative since inception and no penalty has been imposed on the company. The company states there is no material, monetary or non-monetary impact on the listed entity.

Likely market impact

This regulatory action has no direct financial or operational impact on IndoStar Capital Finance as the AIF was never operational. However, it reflects non-compliance with regulatory reporting requirements for one of its fund vehicles, which could raise governance concerns among investors.