India:
Materiality Threshold For Related Party Payments For Brand Use / Royalty
30 October 2019
AZB & Partners
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SEBI has amended the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015, pursuant to which SEBI has
increased the materiality threshold (triggering shareholder
approval requirement) for a related party transaction involving
payments made to a related party with respect to brand usage or
royalty from 2% to 5% of the annual consolidated turnover of the
listed entity as per the last audited financial statements.
Originally published September 2019
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