NewKerala.com

NSE Gets SEBI Nod for IPO Filing, Ending Years of Regulatory Delays

The National Stock Exchange has received crucial approval from SEBI to proceed with filing for its Initial Public Offering. This green light comes after years of delay stemming from regulatory challenges, including the co-location controversy. NSE had initially filed its draft prospectus in 2016 but faced significant setbacks. The exchange recently settled a major case with SEBI by paying a Rs 643 crore penalty, clearing a key hurdle.

Key Points: SEBI Approves NSE IPO Filing After Years of Delay

  • SEBI grants NOC for NSE IPO filing
  • Process delayed since 2016 DRHP
  • NSE settled TAP case with Rs 643 crore penalty
  • IPO follows governance and co-location controversies
2 min read

NSE gets SEBI's green signal for filing IPO: Sources

SEBI grants NSE the green light to file for its long-awaited IPO, marking a key step after years of regulatory scrutiny and delays.

"I think we are at a very advanced stage of issuing the NOC for the NSE IPO, maybe within this month. - Tuhin Kanta Pandey"

Mumbai, January 30

The National Stock Exchange has got the green signal from market regulator Securities and Exchange Board of India for filing of Initial Public Offer, sources said on Friday.

Once the key document, the No Objection Certificate (NOC), is in hand, NSE can officially proceed to prepare its IPO application or Draft Red Herring Prospectus (DRHP).

Notably, the SEBI Chairman Tuhin Kanta Pandey few weeks ago, while speaking with ANI, had said the board is at a very advanced stage of issuing the NOC.

"Possibly within this month," he had indicated, raising expectations of progress on the listing front. "I think we are at a very advanced stage of issuing the NOC for the NSE IPO, maybe within this month," Pandey told ANI.

NSE has been seeking regulatory clearance for its public listing for several years, following governance concerns and the co-location controversy that came under SEBI's scrutiny.

NSE initially filed its Draft Red Herring Prospectus (DRHP) in December 2016. The process was delayed by regulatory challenges, particularly allegations of unfair access to its algorithmic trading platform in India.

Later in August 2024, the NSE reapplied to the Securities and Exchange Board of India (SEBI) for a no-objection certificate to proceed with its IPO.

In October 2024, the NSE settled its Trading Access Point (TAP) Architecture and Network Connectivity case by paying a penalty of Rs 643 crore to SEBI, which was probing an alleged deficiency on the part of the exchange and its top officials to deal with a situation wherein some high-frequency stock traders were found to be gaming the system.

- ANI

Share this article:

Reader Comments

P
Priya S
Good to see SEBI giving the green signal. But let's not forget the co-location scandal and the ₹643 crore penalty. Investors should be cautious and read the DRHP carefully. Governance is key.
R
Rohit P
As a retail investor, I'm excited. This IPO will allow common people like us to own a piece of our own stock exchange. Hope the pricing is reasonable. Jai Hind!
S
Sarah B
Interesting development. The delay shows how complex regulation can be. Hopefully, the settlement of the TAP case means stronger systems are now in place. A robust NSE is good for everyone.
V
Vikram M
"Within this month" he said... Let's see if they stick to the timeline this time. Bureaucratic delays have cost us years. Still, a step in the right direction for market maturity.
K
Karthik V
This IPO will boost sentiment for sure. But my question is: will the funds be used to upgrade tech and prevent future "gaming the system" issues? That's what matters for long-term trust.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

Leave a Comment

Minimum 50 characters 0/50