NSE’s listing process is yet to be approved by SEBI.

When asked by an investor about the pending SEBI approval for the IPO process, Chouhan said, “At present, we are not aware of the noting part, but whenever the approval comes, we will be able to do the IPO.”

Being regulated by SEBI, exchanges generally seek relaxation from the regulator before filing offer documents.

To another shareholder query on the same topic, Chouhan said NSE will continue to strengthen its position as a “frontline regulator” to give additional “comfort” to SEBI before approving the process.

“We will continue to set an example of the frontline regulator that we are, and you and I both know that there have been instances in the past where NSE has not lived up to the standards that SEBI expects NSE to adhere to and This is where SEBI wants to move forward, to be more comfortable, before allowing anything.”

The reference was to the colocation scam involving the former management of the NSE, which allegedly gave preferential treatment to member brokers at its colocation facility, where the member’s server is located in the same premises as the exchange server, in return for a fee.

“Overall, my understanding is that in view of the upcoming new regulations, which include the Mahalingam Committee Report (on Strengthening Corporate Governance Standards for Market Infrastructure Institutions), which have been accepted, any of the NSE The CEO must have taken a similar decision which we are doing. Taking. It is not my own decision alone… It is a collective decision so we need to thank the board rather than any individual for all the decisions. ..”

The listing on NSE is eagerly awaited as it is the largest exchange in the country where some early investors are looking to exit. In the absence of an IPO, the institutions holding the shares are trading in the unlisted market.

Here also, transfer of shares has to be approved by NSE, as per SEBI mandate only a fit and proper person can hold shares of MII. The process usually takes three to four months, but Chouhan said it will be streamlined to less than a week.

NSE’s smaller rival BSE is listed and trades at a valuation of 37 times. NSE shares are currently trading 3000 numbers on the unlisted market, according to Rajesh Baheti, MD, CrossSeas Capital, who believes they can test PAT after 31% growth in consolidated year at 3300 2067 crore posted by NSE for the March quarter.

NSE said that its earnings per share or EPS grew by 42% 148.58 in FY23 from the previous financial year. This translates to a P/E of 20 times based on price in the unlisted market.

NSE shareholders at the end of the March quarter include LIC (10.72%), SBI Caps (4.33%) and Aranda Investments Mauritius (5%).