NSE IPO GMP Reaches Rs 270; What Could Be Price Band For Rs 30,000 Crore IPO

The grey market premium (GMP) for the National Stock Exchange's (NSE) initial public offering (IPO) soared even before the exchange finalises the price band. The NSE IPO GMP stood at Rs 270 on Monday, September 7. Earlier, last week, NSE secured market regulator Sebi's approval for the much-awaited IPO, estimated at around Rs 30,000 crore. The market regulator has paved the way for one of the largest public issues in the history of the Indian stock market. 

NSE IPO GMP 

According to Investorgain, the NSE IPO latest GMP was Rs 270, last updated at around 11:53 AM. The price band for the NSE IPO has not been finalised yet; however,  Moneycontrol reported, citing Reuters, that the price band would be Rs 1,800.  The price band for the issue is expected to be announced on September 11, as per PTI.

SEBI Approved Listing Plan 

NSE, whose listing plan has been held up since 2016 by regulatory scrutiny and legacy legal issues, received SEBI’s final observation on September 4. The NSE submitted the draft paper of the proposed public issue to the market regulator in June. Post listing, NSE will be among India's 10 most valuable companies by market capitalisation.

When IPO Will Hit Primary Market

The exchange is expected to announce the IPO price band and other key details next week. The public issue is likely to be launched on September 15, with the exchange targeting a listing on September 24-25, sources close to the development told PTI. Most probably, the listing is targeted before the Pitru Paksha period begins on September 26.

NSE IPO Vs Jio IPO: The Exchange’s initial share sale of 14.89 crore shares will compete alongside Jio Platforms Ltd, billionaire Mukesh Ambani-led conglomerate's digital services arm, for the biggest-ever IPO tag. Jio's IPO’s issue size is estimated to be about Rs 37,700 crore, but its timing has not yet been announced.

Also Read: NSE IPO Update: Market Regulator SEBI Clears Way For Rs 30,000 Crore Issue; When Will IPO Open?

NSE IPO Comprises Offer For Sale: Who is Selling Stakes? 

The proposed IPO is an entire offer for sale by existing shareholders. This allows existing investors to monetise their stakes without bringing fresh capital into the exchange. The IPO contains up to 14.89 crore shares - roughly 6 per cent of NSE's paid-up capital- and is expected to raise close to Rs 30,000 crore. 

Who Are Offloading Stakes? 

NSE dominates the equity derivatives market and is the world''s busiest derivatives exchange by contracts traded, while also operating the benchmark Nifty 50 index.