The National Stock Exchange (NSE) has concluded the process of selecting merchant bankers, legal advisers and other intermediaries for its proposed initial public offering (IPO), marking a key step toward the long-awaited listing of India’s largest stock exchange.
In a statement on Thursday, the exchange said the selection was carried out through a “structured, transparent and competitive process” in accordance with the framework approved by its IPO Committee.
The exchange has appointed 20 merchant bankers for the issue, including Kotak Mahindra Capital Company, JM Financial, Axis Capital, ICICI Securities, SBI Capital Markets, Motilal Oswal Investment Advisors, IIFL Capital Services, Nuvama Wealth Management and HDFC Bank. Global investment banks such as Morgan Stanley, Citigroup, JP Morgan and HSBC Securities are also part of the syndicate.
Eight law firms have been selected to advise on the transaction, including Cyril Amarchand Mangaldas, Khaitan & Co, AZB & Partners, Trilegal, Shardul Amarchand Mangaldas & Co and international firms Latham & Watkins and Sidley Austin.
Other intermediaries engaged for the IPO include MUFG Intime India, Makarand M Joshi & Company, Manian & Rao, RBSA Advisors, Concept Communication and Redseer Strategy Consultants.
With the completion of the process, the engagement of Rothschild & Co India as process adviser for selecting IPO intermediaries has also concluded, NSE added.
Long-awaited listing
The exchange’s IPO has been among the most closely watched that has faced multiple delays over the past decade due to regulatory issues.
People familiar with the development said the IPO could be in the region of about ₹23,000-25,000 crore, based on the prevailing unlisted market valuation of the exchange, and is expected to be entirely an offer for sale by existing shareholders.
The intense competition for a role in the high-profile listing has also pushed fees sharply lower, with around seven investment banks quoting a symbolic fee of ₹1 to secure a mandate for the issue, sources said.
NSE first filed draft IPO papers with the Securities and Exchange Board of India in 2016, but the listing was stalled following investigations into the alleged co-location case, where some brokers were accused of receiving preferential access to the exchange’s trading systems.
The controversy led to regulatory scrutiny and penalties, delaying the exchange’s public debut for years. In recent years, NSE has moved to settle related cases with the regulator and address governance concerns, clearing the way for the listing process to resume.
SEBI granted the exchange a no-objection certificate earlier this year, allowing it to formally begin preparations for the IPO, including appointing advisers and starting work on the draft offer documents.