NSE IPO valued at Rs 22,662 crore opens bidding September 17
The National Stock Exchange (NSE) announced a mega IPO with a price band of Rs 1,700 to Rs 1,785 per share. BSE shares fell more than 3% following the announcement.
Shares of the Bombay Stock Exchange (BSE) dropped more than 3% after the National Stock Exchange (NSE) confirmed key details for its massive initial public offering. The NSE IPO aims to raise Rs 22,662 crore through an offer size of 12.64 crore shares, with bidding scheduled from September 17 to September 21. Bernstein issued an 'Underperform' rating on BSE, citing moderating retail participation and potential limitations in market share gains for the following fiscal year. BSE shares traded at Rs 3,193 apiece as of Friday morning.
The NSE price band ranges from Rs 1,700 to Rs 1,785 per share. Financial institutions hold significant stakes awaiting this opportunity. The State Bank of India (SBI) offered up to 15.97 million shares, potentially generating around Rs 2,850 crore at the upper price limit. This would result in an estimated return of 223,025% based on a weighted-average cost of acquisition of just 80 paise.
Overseas observers often compare this to other tech IPOs, such as Shopify's recent struggles. However, analysts note the NSE listing remains distinct due to its banking sector concentration rather than direct comparisons to US technology firms. Several listed companies benefit from holding NSE stock; Life Insurance Corporation owns 26.53 crore shares valued at approximately Rs 47,351 crore if priced at the top of the band. Twenty-six listed shareholders collectively hold assets worth about Rs 94,619 crore in NSE shares.
