BSE's IPO, one of the most awaited IPOs of this financial year is finally becoming a reality with Asia's oldest stock exchange announcing to its shareholders on May 28 of its intention to sell up to 30 percent of th e company. As per certain media reports, the exchange can sell anywhere between 15 per cent to 30 per cent through offer for sale (OFS).
BSE is expected to file the draft papers with SEBI in the month of July. Edelweiss Financial Services has been appointed as the lead merchant banker for the issue. The exchange will be holding a meeting (AGM) on June 24 for getting shareholders approval for the listing.
The announcement came after the stock exchange received approval for listing from SEBI. BSE wanted to get listed long time back but the IPO could not materialise due to several reasons. SEBI, the market regulator had to amend Stock Exchanges and Clearing Corporations regulations aiming at easing rules and making it easier for stock exchanges to list their shares through an IPO. BSE approached SEBI with a listing plan in the year 2013. However owing to lack of clarity on Stock Exchanges and Clearing Corporations (SECC) norms the IPO proposal was not cleared.
As of now Multi Commodities Exchange is the only listed exchange in India. NSE has expressed serious concerns on cross listing whereas it has been lobbying hard with SEBI to allow self listing. SEBI is against self listing and has given permission for cross listing to which BSE has no problem.
More will update soon!!
