Court decision positive on MCX: R Balakrishnan

In a chat with ET Now, R Balakrishnan, Investment Analyst, shares his views on HC verdict on MCX SX.

HC setting aside the SEBI order against MCX SX and that has had an impact not just on MCX but even Financial Technologies which hold stakes in MCX and naturally, what did you make of the verdict?

I do not know the exact details of the case but what I would say is that MCX is on a good platform and what they are building is probably the platform which can effectively compete with the other exchanges and personally I own the stock and I like the stock of Financial Technologies.

The verdict will have its own impact because of what valuations the market ascribe to MCX and if you look at MCX, it can throw up a real big challenge to both the exchanges as we go forward.

There is always a premium attached to it since it does become this region’s probably first listed stock exchange, so the court decision is positive and board well for the company and the stock.