The government has finally allowed Indian companies to list abroad before listing in India, a move which will enable dozens of loss-making domestic startups to opt for an initial public offering (IPO).This was part of a series of amendments under the Companies Act, 2013, including moves to decriminalise various offences and improve the ease of doing business in India. The amended law seeks to “permit direct overseas listing of Indian corporates securities in permissible foreign jurisdictions through an enabling provision.” Most Indian startups want to list in the US, the country which has most of their investors as well as the most developed capital market for technology and internet companies.Investors, entrepreneurs and the industry at large has been asking for such an amendment for a few years now because under the current law loss-making companies are not allowed to list in India.

(Moneycontrol)