NSE may seek SEBI nod to trade its shares on its own platforms, sources say

The Stock Exchange (NSE) may seek approval from capital markets regulator Securities and Exchange Board of India (SEBI) to allow trading in its own shares on its platform, sources told CNBC-TV18.

The proposal was discussed during NSE's ongoing IPO roadshow, according to sources. The exchange is likely to seek permission to have its shares traded under the 'permit-to-trade' category.

Currently, 144 companies listed on the BSE are permitted to trade on the NSE, sources said.

The move comes as NSE steps up preparations for its much-awaited initial public offering (IPO). The exchange is currently conducting global roadshows for the issue.

Earlier on Wednesday, CNBC-TV18 reported that NSE expects SEBI to approve its draft red herring prospectus (DRHP) within the next two weeks.

The exchange could launch its IPO price band in early September, with the issue likely to hit the market in the second half of September, sources said.

NSE is targeting a valuation of around ₹5.2 lakh crore-₹5.3 lakh crore, while the IPO could be priced in the range of ₹2,100-₹2,300 per share, according to sources.

NSE Managing Director and CEO Ashish Kumar Chauhan has also thanked the SEBI chairman for granting the exchange a no-objection certificate (NOC) for the IPO.

The proposed IPO comprises an offer for sale (OFS) of up to 14.89 crore equity shares, representing around 6% of NSE's paid-up capital. Since the issue is entirely an OFS, NSE itself will not receive any proceeds from the offering.

Ten institutional shareholders are expected to sell shares in the IPO, including State Bank of India, Canada Pension Plan, Bank of Baroda, New India Assurance Company and United India Insurance Company.

LIC is not selling any stake in the IPO.