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Adrs and GDRS: Similarities and Benefits - Financial Management
Adrs and GDRS: Similarities and Benefits - Financial Management
12. The ADR/GDR holder can ask the bank for the original foreign
security by exchanging the ADR/GDR.
14. The holders of both the instruments may exercise their vote
through the Overseas Depository Bank (ODB).
15. Both can be sold outside India in their existing form. The
underlying shares arising after redemption can be sold in India.
21. The disclosure requirements for GDR issues are less stringent.
9. The issue proceeds may be retained outside India and used for
approved end uses like import of capital goods, repayment of ECBs,
purchase of plant and equipment etc.
To Overseas Investors:
1. Assured liquidity due to presence of market makers.