SEBI directs debt instrument issuers to secure LEI code

Companies with listed or about-to-be-listed non-convertible securities, securitised debt instruments and security receipts have now been mandated by the Securities and Exchange Board of India (SEBI) to obtain and report their Legal Entity Identifier (LEI) in the centralised database of corporate bonds.

LEI is a unique global identifier for legal entities participating in financial transactions. It is designed to create a global reference data system that uniquely identifies every legal entity, in any jurisdiction, that is party to a financial transaction. It is a unique 20-character code to identify legally distinct entities that engage in financial transactions. Presently, RBI directions, inter alia, mandate non-individual borrowers having aggregate exposure of above Rs 25 crore, to obtain LEI code.

Issuers having outstanding listed non-convertible securities as on August 31, 2023, shall report, or, as the case may be, obtain and report the LEI code in the centralised database of corporate bonds, on or before September 1 of this year.

Similarly, issuers having outstanding listed securitised debt instruments and security receipts as on August 31 of this year shall report and obtain and report the LEI code to the depositories, on or before September 1 of this year.