NYSE keen to enhance stake in NSE and MCX

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Mumbai, March 27: The New York Stock Exchange, which has five per cent stake each in NSE and MCX, is keen to increase its holding further as and when Indian regulator relax rules, NYSE CEO Duncan L Niederauer said on Thursday.

"The existing regulations in the country did not allow to increase the foreign shareholding beyond the permissible five per cent. We will be looking at that option when the regulator permits it," Duncan L Niederauer said.

As per the current regulations a foreign entity cannot purchase more than five per cent stake in the country's stock exchanges.

NYSE Euronext, which is the parent company of the NYSE, bought five per cent stake last year in National Stock Exchange (NSE) and signed an agreement this year with Multi Commodity Exchange (MCX) to pick up five per cent stake.

Niederauer said the company is looking at increasing its presence in India and other Asian countries. "This (Asia) is an important region for the company and we will look at enhancing our investment in liquid Markets, including India in the period ahead," Niederauer said, adding "the company (however) has no immediate plans to investment in India."

Niederauer said NSE has inducted a member from the NYSE in its board while the final regulatory approval is yet to come in this regard. "The board of NSE has approved the appointment of Laurence Leibowitz as a board member in that stock exchange. The final regulatory approval is expected soon," Niederauer said.

Besides, NYSE is also keen to enhance the technological tie-ups with both MCX and NSE, he said. Following the subprime turmoil in the US market, NYSE has seen a fall in the number of Companies listed in the past few months, Niederauer said. At present, 12 Indian Companies are listed on NYSE, with a total market capitalisation of 97.3 billion dollars while two are listed on Euronext.

The Indian Companies listed on the NYSE, include ICICI Bank, Wipro, HDFC Bank, Tata Motors, Sterlite Industries, Satyam Computer Services, Tata Communications, Genpact, Dr Reddy's Laboratories, MTNL, Patni Compuer Systems and WNS Holdings.

Companies listed in Euronext are Yatra Capital and Satyam Computer.