Mumbai: The Securities and Exchange Board of India (Sebi) has proposed changes to the price discovery process for initial public offerings (IPOs) and re-listed shares on the date of their listing. The move comes in the wake of concerns being raised by market participants that existing rules have in certain cases resulted in artificially suppressed price discovery for re-listed securities. The regulator has suggested changes to the pre-open call auction process, including a new methodology for determining base prices for re-listed stocks and a more dynamic mechanism for widening price bands. "Representations have been received by Sebi stating that the dummy price band and the mechanism for base price in case of a re-listed scrips are leading to situations of artificially suppressed price discovery," Sebi said in a consultation paper on Thursday. "Subsequently, there is persistent buying pressure in the scrips in the normal market leading to continuous hit of the upper circuits and additional surveillance measures as applicable in the respective exchanges," it said. Presently, the pre-open call auction session for IPOs and re-listed shares are from 9 am to 10 am.