MUMBAI, Oct. 9 -- The Securities and Exchange Board of India (Sebi) has significantly revised the framework for block deals to enhance the mechanism for large-scale trades on stock exchanges.

The regulator's 8 October circular aims to make these transactions more transparent, better aligned with genuine institutional activity, and less prone to market volatility.

Mint explains what block deals are, the key changes introduced by Sebi, and how these reforms may impact market participation.

Block deals are large, single-transaction trades executed through a separate window to prevent significant price volatility in the regular market.

Sebi issued a circular stating that:

The minimum qualifying amount for a block deal has increased to Rs...