NSE IPO to list on September 24; price band likely at Rs 1,700-1,785: Sources

The latest market report highlights that The National Stock Exchange (NSE) is set to list on September 24, with its much-awaited initial public offering (IPO) process kicking off the week ahead, sources stated. The price range for the IPO is likely to be Rs 1,700 -1,785 per share, with the formal announcement anticipated on Friday.

The anchor book is scheduled to open on September 16, followed by the public offering opening for market participants on September 17. The IPO will stay open on September 18 and September 21, sources stated. NSE has filed Red Herring Prospectus (RHP) today with Registrar of Firms (RoC).

As per sources, some public-sector insurance firms have reduced their proposed OFS, while MS Strategic (Mauritius), an entity linked to Morgan Stanley, has additionally decided to trimmed the number of NSE shares it plans to sell, sources stated. National Insurance Firm, General Insurance Corporation of India, New India Assurance and United India Insurance are among the PSU insurers participating in the OFS.

The proposed offering size is now likely to be around Rs 23,000 crore, significantly softer than the roughly Rs 30,000 crore offering envisaged in NSE's original DRHP filed in June. The number of shares offered is additionally anticipated to decline from the earlier 14.89 crore shares.

The reduction in the OFS comes despite firm investor interest. Sources stated the institutional book has noted interest of around Rs 85,000 crore, indicating significant demand for the country's largest stock exchange.

The IPO will be entirely an offer for sale (OFS) by existing shareholders, with NSE not raising any fresh capital or receiving any proceeds from the offering.

NSE filed its updated draft red herring prospectus (UDRHP) with the Securities and Exchange Board of India (SEBI) and the bourses on September 9. The revised filing has resulted in a reduction in the proposed size of the IPO as some existing shareholders have trimmed the number of shares they plan to sell.

The stock-exchange debut will mark the culmination of nearly a decade-long wait for NSE to go public.

An NSE spokesperson could not immediately be contacted for response. That stated, exchange is anticipated to make a formal announcement around the timeline and price range soon.