NSE Said To Prepare IPO Filing This Week, May Seek Valuation Above ₹5 Lakh Crore

National Stock Exchange (NSE) is likely to take a key step toward its public listing by filing the draft red herring prospectus (DRHP) for its initial public offering (IPO) with the Securities and Exchange Board of India (SEBI) by June 18, according to media reports.

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The development marks significant progress in the exchange’s long-awaited listing plans, which have remained pending for several years due to regulatory and legal hurdles.

Reports say NSE is eyeing a valuation of around ₹5 lakh crore to ₹5.25 lakh crore for the proposed public issue. NSE shares are trading above ₹2,000 apiece in the unlisted market, indicating strong investor interest in the exchange ahead of its expected market debut.

IPO To Be Entirely Offered For Sale

The proposed IPO is expected to consist entirely of an offer for sale (OFS), with no fresh issue of shares. Existing shareholders will dilute part of their holdings through the public issue, while the exchange itself will not receive any proceeds from the offering.

Earlier reports had suggested that NSE may sell around 4% to 5% of its equity through the IPO. Based on the expected valuation, the offer size could be among the largest seen in the Indian primary market.

The exchange currently has nearly 1.8 lakh shareholders, making it one of the most widely held unlisted companies in the country.

Listing Timeline Under Discussion

As per media reports, NSE is exploring a market debut later this year, with roadshows expected to be conducted before the launch of the public issue. The listing is reportedly being targeted during the festive season window between Navratri and Diwali.

The exchange had originally submitted draft IPO documents in 2016. However, SEBI did not clear the proposal at the time due to concerns linked to governance issues and the co-location matter. Since then, NSE has undertaken a series of compliance and governance-related measures while continuing discussions with the regulator to secure approval for the listing process.

Regulatory Progress Clears Key Hurdle

A major development came earlier this year when SEBI Chairman Tuhin Kanta Pandey stated that the regulator had granted in-principle approval to NSE’s settlement application in the unfair market access case. The move was viewed as an important step toward resolving one of the key regulatory issues associated with the exchange’s IPO plans.

Among NSE’s major shareholders, Life Insurance Corporation of India holds the largest stake at 10.72%. State Bank of India and its subsidiary SBI Capital Markets together own about 7.5% of the exchange.

With the filing of draft documents now reportedly imminent, market participants will be closely watching for official confirmation from NSE and further details on the structure and timing of the proposed public issue.