The National Stock Exchange of India Ltd. (NSE), operator of the world's largest derivatives exchange by trading volume, is targeting a valuation of as much as ₹5.26 trillion, equivalent to $55 billion, for its planned initial public offering.
According to people familiar with the matter, the exchange has marketed its shares at a range of ₹2,000 to ₹2,100 apiece during recent meetings with potential institutional investors. NSE has concluded the majority of its global roadshow, with remaining meetings in the Middle East still to be completed.
The exchange held investor meetings across major financial hubs including Boston, New York, San Francisco, London, Singapore, and Hong Kong. These meetings involved approximately 120 large global investors, such as BlackRock Inc., Capital Group, GQG Partners, Janus Henderson Group Plc, and Allspring Global Investments.
Deliberations regarding the public offering remain ongoing, and details of the deal, including its size, final valuation, and timing, may still change. A representative for NSE declined to comment beyond reiterating that the company has filed a draft prospectus with the Securities and Exchange Board of India (SEBI).
NSE had originally anticipated receiving approval for its draft prospectus from SEBI by early August. However, the timeline was pushed back by about three weeks due to changes to the list of selling shareholders, which now includes the addition of SBI Capital Markets Ltd. Under regulatory norms, modifications to IPO documents require a 21-day period for public feedback. Consequently, the IPO is now expected to launch in the second half of September.
At the upper end of its marketed price range, NSE would rank sixth in market value among global exchange operators. It would sit narrowly behind London Stock Exchange Group Plc and just ahead of Nasdaq Inc., while CME Group Inc. and Intercontinental Exchange Inc. currently lead the list at approximately $97 billion and $86.9 billion, respectively.
The draft prospectus, filed in June, outlines an offering consisting entirely of secondary share sales. Existing shareholders intend to sell up to 148.9 million shares, representing approximately 6 percent of the company. To manage the share sale, NSE has appointed 20 banks, including Kotak Mahindra Capital Co., JM Financial Ltd., Morgan Stanley, HSBC Holdings Plc, and Citigroup Inc.
"The upcoming public offering by the National Stock Exchange represents a major milestone for India's financial sector and public markets. Achieving a valuation of up to $55 billion places NSE alongside leading global exchange operators. While minor regulatory timeline shifts are standard for large public offerings, the engagement with institutional investors across global financial centers demonstrates strong institutional interest. The secondary share sale structure also provides a clear exit mechanism for existing shareholders while expanding public market participation in India's primary financial infrastructure." — Dr. Shishir Gupta, Founder & CEO, StartupLanes
