NSDL acquires 5.6% stake in ONDC

Jay Prakash of Aashirvad store in Domlur, Bengaluru. Photo: SellerApp

Leading depository NSDL on Wednesday said it has acquired a 5.6 per cent stake in the Union government's Open Network for Digital Commerce for Rs 10 crore. National Securities Depository Limited (NSDL) invested an amount of Rs 10 crore in ONDC under the private placement route, the depository said in a statement.

"This strategic deal will further strengthen the digital ecosystem to take digital e-commerce to the people of India," Padmaja Chunduru, MD and CEO at NSDL, said. ONDC is an initiative of the Commerce Ministry to create an open public digital infrastructure, while NSDL has played a key role in transforming the Indian securities market by facilitating, holding and transfer of securities in dematerialised form.

NSDL demat account holders are serviced through the Depository Participants from 58,000 service centres. Its investors are present in 99 per cent of pincodes in India and are spread across 189 countries. "We are glad to have NSDL as a stakeholder which would be of strategic benefit considering their experience in reach and technology," T Koshy, MD and CEO at ONDC said.

Last month, state-owned Bank of India acquired over 5.5 per cent stake in ONDC for Rs 10 crore, Apart from Bank of India, a number of other banks too had picked up stakes in ONDC. ONDC is aimed at promoting open networks for all aspects of the exchange of goods and services over digital or electronic networks in the country. The framework is expected to make e-commerce more inclusive and accessible to consumers and sellers. ONDC is aimed at promoting open networks for all aspects of the exchange of goods and services over digital or electronic networks in the country.