NSE Moves Closer to Settlement with SEBI, ₹18 Billion Recommendation May Clear IPO Path

An external panel appointed by India’s market regulator has recommended that the National Stock Exchange of India (NSE) settle its pending legal disputes by paying over ₹18 billion (approximately $192.5 million), according to sources familiar with the matter. The proposal, which exceeds the ₹13 billion the exchange had previously earmarked, marks a significant step toward resolving its long-standing issues with the Securities and Exchange Board of India (SEBI). The disputes stem from allegations of governance lapses and unequal access provided to certain trading members, which have stalled NSE’s initial public offering (IPO) for nearly a decade.

Sources indicated that NSE’s settlement proposal was reviewed by the panel recently and is now awaiting formal approval. SEBI is expected to issue a demand notice requiring NSE to deposit the recommended amount before finalising the settlement order. Both NSE and SEBI have declined to comment on the development. The resolution of these disputes is seen as a crucial milestone that could finally pave the way for the exchange to move forward with its long-delayed public listing.

In preparation for its IPO, NSE has already appointed 20 banks—the highest number ever for an Indian public issue—to manage the offering. With over 190,000 investors, NSE remains India’s largest unlisted company. The appointed banks have reportedly reached out to existing shareholders to gauge interest in selling their stakes, with a deadline set for April 27. If the settlement process concludes smoothly, NSE is expected to file for its IPO soon after announcing its financial results next month.

Pic Courtesy: google/ images are subject to copyright