NSE raises concerns over its listing on BSE

NSE is all set for a big bang IPO and investors across the spectrum will be tracking the issue closely.NSE had previously raised concerns on listing itself on BSE and has batted for self listing with the regulator i.e SEBI. NSE now has raised concerns to SEBI about listing on BSE.

SEBI norms do not allow self-listing i.e the exchange cannot list itself on its own platform. As per media reports NSE has suggested a three point agenda to the regulator as below:- 

• Only a panel of public interest directors at the regulator-exchange should look into the disclosures made by the regulate-exchange after listing.

• All the listing related disclosures be made to SEBI rather than to the regulator-exchange.

• NSE has asked that its shares be allowed to trade as “permitted securities” on NSE itself.

All the three options are suggested as NSE wants better liquidity and price discovery for its shares.

Investors in NSE have been pushing the stock exchange to get listed and NSE has been consistently raising concerns on cross listing.

On June 27, NSE decided to get itself listed and filed document for an IPO that can give an exit opportunity to its investors. SBI (5.19 per cent), LIC (10.51 per cent), Goldman Sachs (5 per cent), Tiger Global Management (3 per cent) and Citigroup Strategic Holdings Mauritius (2 per cent) are the various institutional investors.

The proposed share sale would value NSE at Rs 45,000 crore.