NSE IPO: NSE shares to debut on Metropolitan Stock Exchange along with BSE tomorrow

Shares of NSE will also list on its newest peer, the Metropolitan Stock Exchange of India (MSEI), when they make their much-awaited market debut on Thursday.

MSE, in a circular released on Wednesday, said the equity shares of NSE will be admitted for trading on the capital market segment of the exchange under the ‘Permitted to trade’ category, with effect from September 24 onwards.

Metropolitan Stock Exchange is a Sebi-recognised national stock exchange providing an electronic trading platform across capital markets, equity derivatives, currency derivatives, and debt segments. Its platform spans equity, and index derivatives, debt and currency derivatives, with more than 250 listings and over 3100 companies available for trading.


This comes days after NSE MD and CEO Ashish Chauhan clarified that the stock exchange will not seek Sebi approval to trade its shares on its own platform. The market regulator’s rules currently do not allow a recognised stock exchange to list its own securities on its own platform.

NSE shares will begin trading tomorrow on BSE as well as MSEI. Markets are currently keeping a close eye on grey market trends for one of the most awaited listings this year so far.

NSE IPO GMP

Ahead of listing, the unlisted shares of NSE were trading with a mere 2% premium over the IPO price, signalling a muted listing tomorrow.

NSE’s scheduled market debut tomorrow will wrap up its long running process to list as India’s second listed stock exchange after BSE. The company’s initial public offering was launched earlier this month to raise Rs 22,562 crore entirely through an offer for sale (OFS) of 12.64 crore shares by existing shareholders. This means none of the IPO proceeds will go to NSE, as they will be received by the selling shareholders.

NSE shares were offered at a price band of Rs 1,700 to 1,785 apiece. With a lot size of 8 shares, the minimum retail application amount comes to Rs 14,280.

A day before the IPO opened for public bidding, the stock exchange raised Rs 6,746 crore from more than 150 anchor investors.

Also read: NSE IPO Tracker: Catch all the highlights here

Foreign portfolio investors accounted for Rs 2,883 crore, or 43% of the anchor book. More than 20 foreign long-only funds participated, with the list including Singapore sovereign wealth fund GIC, Abu Dhabi Investment Authority and Norges Bank.

Domestic institutional demand was also broad-based, with more than 25 mutual funds and 11 insurance and pension companies investing around Rs 3,588 crore, or 53% of the anchor book.

LIC, NSE's largest shareholder with a 10.72% stake, invested more than Rs 500 crore through LIC, LIC Mutual Fund and LIC Pension Fund during the anchor round. The investment comes even as LIC's existing holding is larger than the stake being offered in the IPO.

The SBI group, which is selling a 1% stake in NSE through State Bank of India and SBI Capital Markets, also invested in the exchange through SBI Mutual Fund, SBI General, SBI Life and SBI Pension Fund. Its combined investment exceeds Rs 400 crore.

ALSO READ: Sebi sees potential for Rs 2 lakh crore IPO fundraising as fresh capital gains prominence

The maiden public issue of NSE saw strong investor interest during its three days of public bidding, being subscribed nearly 6 times its offer size between September 17 and September 21. Qualified institutional buyers (QIB) led the demand, booking their reserved portion around 13 times, while the portions kept for retail investors and non-institutional investors (NII) were booked 1.4 times and 6.6 times, respectively.

What analysts expect for NSE’s mega listing?

NSE is India’s leading exchange, with a dominant market share across cash and equity derivatives, noted Shivani Nyati, Head of Wealth at Swastika Investmart. At Rs 1,700–1,785, the IPO is valued at around 40.9x–42.9x FY26 diluted EPS, at a discount to BSE’s 54.28x, offering valuation support.

Also read |70% IPOs in September gave a listing bounty for investors. Can NSE beat its weak GMP?

However, around 79% of revenue is linked to trading activity, making earnings sensitive to market volumes and regulatory changes, she added. “Our pre-listing view is Subscribe, with minor listing gains expected, but the IPO remains suitable for a long-term investment play, supported by NSE’s strong market position, scale and relative valuation advantage,” she further said.

Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.