A block deal is used to execute large trades through a single transaction without putting either the buyer or seller in a disadvantageous position. For such trades, stock exchanges are permitted to provide a separate trading window. It is proposed to increase the minimum block deal size to 25 crore rupees from the current 10 crore rupees. It also proposes changes to the price band of block trades for non-derivatives stocks, widening it to 3% on either side of the stock’s reference price from the current 1%. It proposed to retain the 1% price band for futures and options stocks. The regulator proposed to keep two windows for such deals – the morning session 8:45 a.m. IST to 9:00 a.m. IST, and the afternoon session 2:05 p.m. IST to to 2:20 p.m. IST. The comments/ feedback from stakeholders are invited.
