NSE files for Sebi NOC to gain approval for long-awaited IPO listing

In a fresh shot to get listed, the National Stock Exchange (NSE) has filed for a no-objection certificate (NOC) with the Securities and Exchange Board of India (Sebi) for the approval of its initial public offering (IPO).

In its annual general meeting held on Tuesday, the exchange informed shareholders about the development.

The clarification comes after Sebi informed the Delhi High Court earlier this month that NSE had not submitted any new request for NOC for the listing.

Sebi had responded to a writ petition filed in the high court to expedite NSE’s IPO.

The bourse, in May 2024, had responded to queries sent by Sebi. But it did not ‘expressly request for NOC,’ Sebi submitted.

Amid the IPO uncertainties, foreign investors had turned net sellers in the last few months with shares worth Rs 3,500 crore sold in June and July.

According to data on UnlistedZone, the shares of NSE in the unlisted market are trading at Rs 6,200 apiece against the price of Rs 3600 in August 2023. However, the prices have cooled from Rs 6,500 levels in May.

NSE’s IPO plans have been in limbo since 2016 when it first filed the draft red-herring prospectus (DHRP). Sebi had returned the DRHP in 2019 advising it to make fresh filings after the collocation matter was resolved.

NSE had again, in June 2022, sought Sebi’s approval for allowing listing.

A month later, Sebi had responded with observations on issues around technology, governance, surveillance, and trading along with lapses as a first-level regulator, inspection, and off-site monitoring.

The petition filed by People Activism Forum is scheduled to be next heard in December.

The exchange had announced bonus issuance last quarter for which shareholder approval has been obtained but Sebi’s nod is still awaited.