Galactico Corporate Services Board Reviews SEBI Amendment Regulations Compliance
Galactico Corporate Services Limited's Board met on February 25, 2026, to review compliance with SEBI (Merchant Bankers) Amendment Regulations, 2025. The Board confirmed adequate measures for capital adequacy and liquid net worth requirements, while proposing corporate restructuring to segregate non-SEBI regulated activities through Chinese wall arrangements. The company committed to implementing a Grievance Redressal Mechanism and obtaining all requisite regulatory approvals for the restructuring process.
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Galactico Corp Services Limited, a SEBI registered Category I Merchant Banker, conducted a Board meeting on February 25, 2026, to address compliance requirements under the recently amended SEBI regulations. The meeting, held through Other Audio-Visual Means (OAVM), commenced at 04:00 PM and concluded at 05:23 PM.
Regulatory Compliance Review
The Board meeting focused on matters relating to SEBI (Merchant Bankers) Amendment Regulations, 2025, which were notified on December 05, 2025, through circular HO/49/11/11(106)2025-CFD-RAC-DIL3/1/1796/2026 dated January 02, 2026. The directors reviewed the company's current financial position and regulatory obligations under the new framework.
| Key Compliance Areas: | Board Decisions |
|---|---|
| Net Worth Position: | Reviewed existing position and confirmed adequacy |
| Capital Requirements: | Measures to ensure compliance with revised capital adequacy |
| Liquid Net Worth: | Phased approach to meet minimum requirements |
| Implementation: | Ongoing compliance measures to be undertaken |
Corporate Restructuring Proposal
The Board noted that merchant bankers may undertake non-SEBI regulated activities only on an arm's-length basis through separate business units. These units must be segregated by Chinese wall arrangements and ring-fenced from SEBI-regulated operations. Consequently, the Board concluded that it will review the company's non-core activities and propose corporate restructuring.
The restructuring initiative encompasses several operational considerations:
- Review of regulatory framework requirements
- Assessment of operational requirements
- Implementation of Grievance Redressal Mechanism for transparent complaint resolution
- Evaluation of staffing, infrastructure, and IT resources
- Ensuring adequate segregation between regulated and non-regulated activities
Implementation Framework
| Operational Aspects: | Requirements |
|---|---|
| Business Segregation: | Chinese wall between SEBI and non-SEBI activities |
| Grievance Mechanism: | Timely and transparent complaint resolution |
| Resource Allocation: | Adequate segregation of staffing and IT resources |
| Regulatory Approvals: | All requisite approvals to be obtained |
Next Steps
Galactico Corporate Services Limited has committed to taking all necessary steps to ensure compliance with the SEBI (Merchant Bankers) Amendment Regulations. The company will undergo corporate restructuring in accordance with SEBI regulations, with all requisite approvals to be obtained and accorded in due course.
The meeting was concluded with the Board's confirmation of its commitment to regulatory compliance and the implementation of necessary structural changes. Director and CFO Vipul Dileep Lathi communicated these decisions to BSE Limited as part of the company's disclosure obligations under Regulation 30 of the SEBI Listing Regulations.
Historical Stock Returns for Galactico Corp services
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -3.89% | -13.07% | -13.07% | -13.07% | -13.07% | -13.07% |
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