AVs must be uploaded on the issuer's and AIBI's websites within 5 working days of filing the DRHP with SEBI.
FinTech BizNews Service
Mumbai, June 24, 2024 - The Association of Investment Bankers of India (AIBI), the sole representative body for investment bankers to SEBI and various statutory authorities has published Guidelines “AIBI GUIDELINES ON AUDIO VISUAL VIDEOS FOR MAINBOARD PUBLIC ISSUES”.
These Guidelines have been issued pursuant to the Securities and Exchange Board of India (SEBI) circular “Audiovisual (AV) presentation of disclosures made in Public Issue Offer Documents” (SEBI/HO/CFD/CFD-TPD-1/P/CIR/2024/55) dated May 24, 2024, which mandates the inclusion of salient disclosures made in the Draft Red Herring Prospectus (DRHP), Red Herring Prospectus (RHP), and Price Band Advertisements in Audio Visual (AV) Format.
AV shall contain the disclosure “Investors are advised not to rely on any other document, content or information provided in respect to the public issue on the internet/online websites/social media platforms/micro-blogging platforms by finfluencers. Investors are advised to rely only on the information contained in the Offer document and Price Band Advertisement for making investment decision.”
The Guidelines require the AVs to be bilingual, available in both English and Hindi, with the Hindi version featuring text in the Devanagari script. Issuer companies also have the option to produce AVs in additional languages for broader reach.
Key Highlights of the AIBI Guidelines
Availability of AVs: AVs must be uploaded on the issuer's and AIBI's websites within 5 working days of filing the DRHP with SEBI. For documents pre-filed under Chapter IIA of SEBI ICDR Regulations, the AVs should be available within 5 working days of filing the Updated Draft Red Herring Prospectus-I. Investors can access this audiovisual on the website of the Association of Investment Bankers of India (http://www.aibi.org.in/). The link will be embedded in the Investors section as – IPO Videos (http://www.aibi.org.in/ipo_videos.asp).
Distribution of Video: The AVs would be accessible on website and social media handles of both the issuer and AIBI. Links to these AVs will be provided on the websites of the Stock Exchanges and Lead Managers, with QR codes included in offer-related documents for easy access.
Content and Updates: The AVs must be updated with the latest information from the RHP and price- band advertisement on the publication date of the price band or the filing date of the prospectus for fixed price issues. Previous AV versions should be removed once updated AVs are uploaded. The content must be factual, non-repetitive, non-promotional, and should not mislead investors. Key risks and disclaimers must be clearly stated.
Video Submission Process: AVs can be submitted physically via a pen drive or electronically through downloadable links sent to AIBI’s designated email addresses (info@aibi.org.in). Physical submissions received by 3 PM will be uploaded the same working day, while those received after 3 PM will be processed the next working day.
Professional Standards: The AVs should maintain a professional tone, avoiding exaggerated claims, and must clearly state that they are for informational purposes only, not promotional.
Mr. Mahavir Lunawat, Chairman, AIBI, stated, stated, "AIBI Guidelines on IPO AVs mark a major advancement in ensuring that critical information is easily understandable and accessible to a broader audience in a trendy manner. By leveraging technology and dedicated platform, AIBI aims to empower investors to make more informed decisions. AIBI always remains committed to fostering a more transparent and informed investment environment, continuously working towards innovative solutions that benefit investors and the market as a whole."
