NSE confirms filing settlement pleas in co-location, dark fibre matters

More importantly, once the issue is settled, SEBI will issue the No Objection Certificate or NOC to NSE to go ahead with the IPO process.

The National Stock Exchange has filed two settlement applications with the Securities and Exchange Board of India (SEBI) in the matters related to the co-location investigation and the dark fibre case. The exchange confirmed the development, as part of disclosures  in the earnings release.

“On June 20, 2025, NSE filed two separate settlement applications with SEBI under SEBI (Settlement Regulations) 2018 for settlement of: a) Colocation WTM Order and Colocation AO Order; and b) Dark Fibre WTM Order and Dark Fibre AO Order. Revert from SEBI on the above-mentioned applications is awaited,” stated the NSE release.

“Based on the opinion of the external legal counsel, NSE is of the view that it has strong grounds to contest each of the above orders / appeals including levy of monetary penalty passed by SEBI. Accordingly, no provision for any liability in this regard is considered necessary in the consolidated statement of financial results for the quarter ended June 30, 2025, other than the amount of Rs. 100 Crores imposed by the Hon'ble SAT in the Colocation WTM Appeal which had been duly adjusted against the amount deposited by NSE with SEBI during the year ended March 31, 2023,” it added.

Moneycontrol had earlier reported that the settlement amount is likely to be around Rs 1,400 crore. As Rs 800 crore is already deposited with SEBI in the co-location case, the exchange may have to pay an additional Rs 600 crore to close the proceedings.

More importantly, once the issue is settled, SEBI will issue the No Objection Certificate or NOC to NSE to go ahead with the IPO process.

Also Read: NSE Q1 results: Net profit rises 10% QoQ to Rs 2,924 crore, total income up 9% QoQ

Meanwhile, NSE reported a consolidated total income of Rs 4,798 crore for Q1FY26, as against Rs 4,397 crore for Q4FY25. Net profit increased by 10 percent QoQ to Rs 2,924 crore in Q1FY26 from Rs 2,650 crore in Q4FY25.

Further, the consolidated revenue from transaction charges for Q1FY26 was Rs 3,150 crore, a sequential growth of 7% QoQ due to an increase in volumes across cash market and derivatives segments.

In Q1FY26, the cash market trading segment recorded an average daily traded volume (ADTVs) of Rs 1,08,542 crore (increase of 14% QoQ). The ADTV for equity futures segment in Q1FY26 stood at ₹ 1,68,430 crore (up by 5% QoQ) while the ADTV for equity options (premium value) stood at ₹ 55,514 crore (up by 9% QoQ).