SEBI Consultation paper - amendments to RPT under SEBI (LODR), 2015 and circulars thereunder – 4th August 2025

SEBI vide its consultation paper dated 4 th August, 2025 has proposed significant changes to the SEBI LODR Regulations, 2015, regarding Related Party Transactions (RPTs). The key objective is to simplify compliance for listed entities, especially those with high turnovers, while enhancing corporate governance and minority shareholder protection.

The proposed amendments can be categorized into following main areas:

Threshold for determining material Related Party Transactions (“RPTs”) undertaken by listed entities.

Threshold for determining material RPTs undertaken by subsidiaries of a listed entity.

Relaxation in the minimum information to be furnished to the Audit Committee and shareholders for the approval of RPTs.

Inclusion of provision in Regulation with respect to validity of omnibus approval for RPTs granted by the shareholders.

Clarifications pertaining to applicability of RPT provisions.

Mehta & Mehta - SEBI Consultation Paper - LODR RPT - 04.08.2025 Download