SEBI greenlights NSDL's ₹3,000 crore IPO
What's the story
The Securities and Exchange Board of India (SEBI) has approved the initial public offering (IPO) of National Securities Depository Limited (NSDL).
The move comes several months after NSDL filed its Draft Red Herring Prospectus (DRHP) with SEBI on July 7, 2023.
The IPO will be an offer for sale (OFS) with NSE and IDBI Bank looking to divest their stakes.
Share distribution
NSDL IPO: 6 shareholders to sell 57.3 million shares
The IPO will see the sale of 57.3 million shares by six shareholders.
While IDBI Bank will divest up to 22.2 million shares, NSE will sell its 18 million shares in NSDL.
Union Bank of India, State Bank of India, and Administrator of the Specified Undertaking of the Unit Trust of India (SUUTI) will sell 5.62 million, 4 million, and 3.4 million shares, respectively.
Stake sale
HDFC Bank to sell 2% stake in NSDL IPO
HDFC Bank, the sixth shareholder in the IPO, holds an 8.95% stake in NSDL. The private lender will sell a 2% stake in the public issue.
After SEBI approved NSDL's IPO, HDFC Bank shares surged over 1% in a flat market, trading at ₹1,636.6 per share on NSE.
Market debut
NSDL to be 2nd depository services firm on domestic bourses
Upon its market debut, NSDL will become the second depository services company to be listed on domestic bourses.
This comes after the successful market entry of its peer, Central Depository Services Limited (CDSL), in 2017.
As of today, CDSL's stock price has dipped over 1% to trade around ₹1,355 per share.