BSE Shares Fall 3% as NSE IPO Launches at ₹22,662 Crore
The Bombay Stock Exchange dropped sharply after the National Stock Exchange announced its major IPO, while key institutional shareholders like SBI and LIC stand to gain massive returns.
Shares of the Bombay Stock Exchange (BSE) tumbled more than 3% on Friday following the announcement that the National Stock Exchange (NSE) has priced its mega initial public offering at a valuation of Rs 22,662 crore. The IPO offer comprises 12.64 crore shares with a price band ranging from Rs 1,700 to Rs 1,785 per share, opening for bidding between September 17 and September 21. BSE shares fell to Rs 3,193 after the news broke. Analysts note that Bernstein holds an 'Underperform' rating on BSE due to concerns regarding retail participation and market share dynamics. The NSE issue is entirely an offer for sale by existing shareholders. State Bank of India offers up to 15.97 million shares at a weighted average cost of 80 paise; selling these could yield approximately Rs 2,850 crore or a return of 2,23,025 percent. Life Insurance Corporation of India is the largest holding unit at 10.72%, valued at roughly Rs 47,351 crore at the upper price limit. Twenty-six listed entities hold approximately Rs 94,619 crore in NSE stock collectively.
