NSE IPO: Exchange seeks Sebi NOC for public issue

The board of directors of NSE has asked the bourse to write to Sebi for a No Objection Certificate (NOC) for its planned public issue that has been in the works for quite a few years now.

The board of directors of the National Stock Exchange (NSE) has asked the bourse to write to the Securities and Exchange Board of India (Sebi) for a No Objection Certificate (NOC) for its planned public issue that has been in the works for quite a few years now.

A decision to this effect was taken at the board meeting held on Tuesday and was triggered by an ongoing case in the Delhi High Court wherein it was brought to the court's notice that the exchange has not written to the capital market regulator for an NOC for its proposed initial public offer (IPO).

In response to a petition filed in the Delhi High Court related to NSE's IPO, the Sebi counsel made a submission saying that the exchange is yet to write to it for an NOC for its public issue.

This assumes significance as the public issue of NSE has been pending for long as the exchange had filed its draft document way back in December 2016.

Thereafter, the approval process took a hit due to regulatory probes related to the collocation scam, among other things.

Also Read: FPIs sell NSE shares on IPO uncertainty, derivatives volume concerns

Interestingly, developments related to the listing of NSE are always closely followed as the exchange has among its shareholders many well-known global and domestic entities including state-owned insurance majors (LIC, General Insurance Corporation of India, New India Assurance Company, National Insurance Company), banks (State Bank of India) and foreign investors (Canada Pension Fund) among others.

Shares of NSE are quite frequently traded as well in the unlisted arena with both domestic and overseas investors, showing keen interest in the shares as the exchange enjoys a dominant position in the Indian stock market.

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