NSE IPO News: Denies Government Intervention Reports? Exchange Clarifies

The National Stock Exchange (NSE) denies media reports regarding government intervention in its long awaited initial public offering (IPO) after the market regulator, SEBI disposed of cases against NSE that hindered its IPO.

NSE stated to the ANI that it had no communication with the government on matters relating to the IPO in the past 30 months.

NSE stated on social media platform X, “A news agency - has published a story that NSE has sought intervention from Government relating to NSE IPO. The story is denied by NSE. NSE has not had any correspondence with Government of India in last 30 months relating to its IPO.”

Questionable Disposal of Violations

When NSE had filed its red herring prospectus back in late 2016, SEBI had flagged it on multiple issues like the process of appointing top management, technology and ownership. The plans faced further resistance due to pending cases against former NSE officials on the grounds of co-location as reported by ANI.

ANI reported that NSE was looking to reportedly raise 10,000 crore.

Further request attempts were made in 2019, 2020 and 2024 to get the “No Objection Certificate” from SEBI as stated by a reputed news agency. All of a sudden, the once held co-location cases seen as violations were discarded recently.

"Different departments at SEBI had raised concerns, until all departments are satisfied that issues have been addressed, an NOC is unlikely to be issued.", a source said to a reputed news agency.

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Assurance

As reported by a reputed news agency in April, the current SEBI chairman, Tuhin Kanta Pandey, spoke about the regulator's cooperation with NSE to resolve the flagged issues and ensuring that the NSE’s IPO leads to safeguarding of public interest will remain a priority over commercial gains.

The IPO offering as stated by a reputed news agency would help corporations like LIC India, SBI, CPIPB and Morgan Stanley to exit after years of investment and profit from the valuation.