Mumbai: The National Stock Exchange (NSE) is expected to receive the no-objection certificate (NOC) from the Securities and Exchange Board of India (Sebi) within this month, clearing the way for its initial public offering (IPO). This update was shared by Sebi Chairman Tuhin Kant Pandey during a press conference held in Chennai.
Sebi Chairman Confirms Imminent Approval
Speaking to the media, Mr. Pandey stated that the regulator is likely to issue the NOC to NSE soon. This approval will enable NSE to proceed with its IPO plans and list on the stock market without further regulatory hurdles.
“The approval could come before the end of the month, after which the listing process will depend on NSE’s own timelines,” he added.
Background of the Delay: Dark Fibre Case
The NSE IPO has been stalled for several years due to the so-called ‘dark fibre’ case. The allegations involve certain high-frequency traders being given preferential access to NSE’s co-location servers through private communication lines between 2010 and 2014.
It was claimed that this gave these traders an unfair speed advantage over other market participants. In April 2019, Sebi ordered NSE to return ₹62.58 crore as allegedly illegal profits and barred some senior officials from holding market-related positions.
In 2022, Sebi imposed a ₹7 crore fine on the exchange, which was later set aside by the Securities Appellate Tribunal. Despite these controversies, the IPO approval appears to be approaching.
Retail Investor Interest Remains Strong
NSE revealed in July last year that approximately 1.46 lakh retail investors hold shares in the exchange’s unlisted (grey) market. Interestingly, despite significant price increases, retail investor interest remains steady. Most investors hold shares valued under ₹2 lakh, indicating sustained confidence in NSE’s prospects.
The expected issuance of the NOC this month marks a significant step towards NSE’s public listing, potentially opening a new chapter for India’s leading stock exchange.
My name is Bhupendra Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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