The Securities and Exchange Board of India (SEBI) on August 04, 2023, issued a notification regarding the Validity period of approval granted by SEBI to Alternative Investment Funds (AIFs) and Venture Capital Funds (VCFs) for overseas investment.
The following has been stated namely: -
• The following circulars are refered to:
1. SEBI Circular No. SEBI/VCF/Cir no. 1/98645/2007 dated August 09, 2007.
2. SEBI Master Circular No. SEBI/HO/AFD/PoD1/P/CIR/2023/130 dated July 31, 2023.
The aforesaid circular specified on VCFs and AIFs respectively and stated that they have a time limit of six months from the date of prior approval from SEBI for making the allocated investments in offshore venture capital undertakings. In case the applicant AIF/VCF does not utilize the limits allocated within six months, SEBI may allocate such unutilized limits to other applicant AIFs/VCFs.
• The time limit for making overseas investments by AIFs/VCFs has been reduced from six months to four months.
[Notification No. SEBI/HO/AFD/PoD/CIR/P/2023/137]
