New Delhi - Insolvency and Bankruptcy Board of India Chairperson M.S. Sahoo pitched for a market driven institutional mechanism to facilitate and enable mergers and acquisitions with minimum regulations that can conveniently safeguard the legitimate interests of concerned stakeholders.
"A time has come for the state to consider setting up of a market driven institutional mechanism to address all the issues relating to mergers and acquisitions as these developments have begun to take off more often than not in the present and evolving corporate reality," Sahoo said without giving details of the suggested institutional mechanism.
He was speaking at a conference on 'Mergers and Acquisitions - Growth Mechanism and The Regulatory Framework' organised by the PHD Chamber of Commerce and Industry.
"India has already moved towards creating conditions for exit of business in an equitable and friendly manner under current dispensation. India has now already entered into a regime in which exit of business is permitted with emphasis on ease of doing business," he added.
He said that the Companies Act of 2013 gives fairly substantial power to professionals and business facilitators to make provisioning for mergers and acquisitions, though some scope of improvement on this front is still called for.