NSE listing moves closer, likely to file IPO DRHP by Friday: Source

The long-awaited IPO of the National Stock Exchange could take a significant step forward this week, with the country's largest stock exchange expected to file its draft papers with market regulator Sebi by Friday, according to a senior investment banker familiar with the matter.

"NSE will file its IPO papers by Friday. It could come anytime, and hopefully that would get the sentiments in the primary market going," the banker told ETMarkets.

The filing would mark a major milestone for one of India's most anticipated public offerings. The NSE IPO has been delayed for years because of regulatory hurdles and legacy legal issues, but recent developments have improved the prospects for the listing.


NSE currently trades in the unlisted market at around Rs 1,950-2,050 per share, implying a valuation of roughly Rs 5 lakh crore. That would make it one of the most valuable listed financial institutions in India once the public issue is completed.

According to Nitant Darekar, Research Analyst at Bonanza, the exchange is already commanding premium valuations in the unlisted market.

"NSE remains a capital-light near-monopoly. At around Rs 1,950-2,170 in the unlisted market, it trades near 45x FY26 earnings. That's rich, but below BSE at around 70x and MCX at around 80x," Darekar said.

He noted that the recent settlement of the long-running co-location case has removed a key overhang that had weighed on the listing process for years.

However, Darekar cautioned that investors should remain mindful of the exchange's dependence on derivatives trading volumes.

"Earnings remain linked to derivatives trading activity, which can be volatile, especially after regulatory changes in the futures and options segment," he said.

The proposed IPO is expected to raise more than Rs 20,000 crore and will be structured entirely as an offer for sale. Under this structure, NSE itself will not receive any proceeds from the issue. Instead, existing shareholders will sell a portion of their holdings and receive the sale proceeds.

The exchange is expected to offload around 4-4.5% of its equity through the public issue, according to reports earlier.

Unlike most IPOs, where companies raise capital to fund expansion plans, the NSE offering is largely intended to provide liquidity and an exit route for long-standing investors.

The complexity of the transaction has increased because of the sharp rise in NSE's shareholder base over the past year. The number of shareholders climbed to 1,59,394 in June 2025 from 39,201 in March 2025 and further increased to 1,86,481 by December 2025, driven largely by heightened activity in the unlisted market.

The large shareholder base has made the offer-for-sale process more complicated and time-consuming.
The expected filing also comes at a time when India's primary market is looking for a fresh trigger after a relatively subdued start to the year.

Market participants believe an NSE IPO could become one of the biggest capital market events in recent years and help revive investor interest in new listings.

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Once completed, the listing will provide a formal market value for India's dominant exchange operator and offer investors direct exposure to the country's growing capital markets ecosystem.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)