NSE board to take up IPO plan this week, targets DRHP filing by April: Report

After securing a go-ahead from the Securities and Exchange Board of India (SEBI), the National Stock Exchange is set to revive its long-delayed initial public offering (IPO), with the board likely to take

up the proposal at its meeting on Friday, Moneycontrol reported.

The board is expected to constitute an IPO committee, largely comprising independent directors, while also reviewing the December quarter results. The committee will drive the listing process, starting with finalising eligibility criteria for appointing merchant bankers and legal advisors to prepare the draft red herring prospectus (DRHP).

The report added that NSE is targeting the filing of the DRHP by end-March or early April. If audited September quarter numbers are used, the filing could happen by March-end. However, if documentation takes longer, the exchange may file in April using December quarter audited numbers, as regulations permit DRHP filings with financials not older than six months.

Once the appointment criteria are approved, shortlisted merchant bankers will be formally briefed, kicking off the pitch process, or ‘beauty parade’. A large number of domestic and foreign bank-owned merchant bankers are expected to participate. NSE did not respond to an email seeking comment.

The IPO will be structured as an Offer for Sale, with around 4.5% of NSE’s equity likely to be sold. At the current unlisted market price of about ₹2,000 per share, the issue size could be around ₹23,000 crore. NSE MD and CEO Ashish Kumar Chauhan has said the exchange prefers an OFS, though a fresh issue may be considered if the required dilution cannot be achieved through existing shareholders.

A key operational hurdle could be NSE’s sharply expanded shareholder base. The exchange now has about 1.91 lakh shareholders, up from around 5,000 in December 2023, 20,500 in December 2024, and nearly 1.84 lakh by December 2025. NSE will need to communicate with shareholders and seek consent for participation in the OFS, a process that could take time.

NSE’s earlier attempt to list in 2016 was shelved amid regulatory probes, which later reached the Delhi High Court. While SEBI’s High-Powered Advisory Committee clearance was earlier seen as a prerequisite, the regulator issued the NOC without waiting for formal approval. NSE filed a settlement application on June 20, 2025, and has agreed to pay around ₹1,400 crore for the co-location and dark fibre cases, provisioning ₹1,297 crore in its November 2025 disclosures.