The Bombay Stock Exchange on Tuesday got a green signal from the Securities and Exchange Board of India (SEBI) to launch the much awaited Initial Public Offering (IPO). The BSE had filed the draft papers in September for an initial public offer. According to reports, uptoCDSL, backed by the Bombay Stock Exchange has plans of selling more than 3.5 crore shares through the IPO. The BSE is speculated to launch its initial share sale up toRs 1,500 crore.
Meanwhile, the NSE IPO is speculated to be the biggest in recent memory with a size that has been estimated to cross Rs 10,000 crore. The IPO is expected to see the existing shareholders offloading 20-25% shares to the public through the OFS route, according to the PTI. According to certain sources, the IPO may give the NSE a valuation of Rs 50,000-55,000 crores. The Draft Red Prospectus had ben reportedly filed with the SEBI way ahead of the BSE’s own deadline of January 31, 2017.
As of now, MCX is known as the only listed exchange in India but had earlier came out with IPO as a standalone commodity exchange much before the merger of Forward Markets Commission (FMC) with SEBI to create a unified capital markets regulator. After months of speculation, NSE announced in June its plans to get listed and had said IPO papers would be filed by January 2017. Amid preparations for the share sale, NSE saw the surprise exit of its Managing Director and CEO Chitra Ramkrishna earlier this month. The exchange has already formed a listing committee to expedite the IPO process, apart from roping in merchant bankers. It has appointed Citigroup, Morgan Stanley, JM Financial Institutional Securities and Kotak Mahindra Capital Company to manage its upcoming IPO.
(With PTI inputs)