Oman sovereign fund to buy NCDEX stake

Oman Investment Fund (OIF), a sovereign wealth fund owned by the Oman government, and a hedge fund have agreed to buy part of the National Stock Exchange's (NSE) stake in the National Commodity & Derivatives Exchange (NCDEX) in a deal that would value the bourse at Rs 700 crore, The Economic Times reported on Monday.

The report did not name the hedge fund.

If the deal goes through, it will mark the entry of a sovereign fund into India's seven-year-old commodity futures market that posted turnover in excess of Rs 1 lakh crore in the financial year ended March, the news paper said.

"OIF has agreed to pick up 5% in the commodity exchange from NSE and a hedge fund will buy 1.1% at a little under Rs 145 a share, the price (Shree) Renuka Sugars paid to buy 7% in NCDEX from Crisil last year," a person familiar with the development was quoted as saying in the report.

JM Financial is the advisor to NSE on the deal, it added.

NSE and OIF officials were not immediately available for comment.