NSDL Files RHP for ₹3,400–4,000 Crore IPO: Key Dates & Stake Sale Insights

National Securities Depository Ltd (NSDL), India's largest securities depository, has formally filed its Red Herring Prospectus (RHP), signalling the imminent launch of a major IPO estimated to raise between ₹3,400 and ₹4,000 crore via an Offer for Sale (OFS). This move precedes the anticipated public subscription window, scheduled from July 30 30 August 1, 2025, with a listing target of August 6.

What the IPO Looks Like

The entire IPO is structured as an OFS, meaning no fresh capital will be raised—existing shareholders will divest their stakes. Large stakeholders, including IDBI Bank and the National Stock Exchange (NSE), are planning to offload shares, with the latter expected to sell approximately 1.8 crore shares.
The issue size has been carefully calibrated, with 50.15 million shares on offer—down from earlier plans of 57.26 million. The reduction reflects a strategic move to balance sell‑down requirements with market demand and price stability.

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Timeline & Lot Details

• IPO opening: July 30, 2025
• Closing date: August 1, 2025
• Basis of allotment: Expected by August 4
• Listing: Targeted for August 6 on both NSE and BSE

A minimum lot size will be specified in the RHP, offering retail, QIB, and HNI investors a chance to participate in one of the year's most significant listings.

Why the NSDL IPO Matters

NSDL is a Market Infrastructure Institution (MII) that underpins India's capital markets through its demat and securities services. With holdings exceeding ₹400  crore in assets under custody and operations through over three crore demat accounts, the company generates robust recurring revenues. In FY24, NSDL reported revenue of around ₹1,268 crore and a net profit of ₹276 crore, with strong margins and steady growth.

Its subsidiary, NSDL Payments Bank Ltd (NPBL), adds to the group's stable income stream. These operational strengths have attracted significant retail interest in the grey market, though unlisted share premiums have eased in recent weeks.

Sale by Major Shareholders

Prominent institutions are using the IPO to reduce their holdings. IDBI Bank, which held roughly 26% of NSDL, will divest a sizeable portion. NSE, which owns about 24%, will also participate. Other contributors include SBI, HDFC Bank, Union Bank, and SUUTI—all of which align with SEBI's cap that prevents MIIs from holding more than 15% ownership.

Market & Regulatory Status

NSDL received SEBI's in-principle approval with an extended deadline to list by August 14, allowing sufficient time to finalise the IPO structure. With the RHP now filed and the issue officially launched, all eyes are on investor appetite, pricing, and demand across category quotas. NSDL's next week's IPO marks a pivotal moment for India's financial infrastructure sector. The OFS-driven structure, trimmed issue size, and timelines signal strong regulatory planning. Whether the NSDL IPO attracts robust retail and institutional participation will test market sentiment toward established fintech infrastructure.