NSDL IPO: The Securities and Exchange Board of India (SEBI) has postponed the proposed initial public offering (IPO) of National Securities Depository Limited (NSDL). This information has been revealed by quoting sources in the report. It has been said that the target of this IPO is about 3 thousand crore rupees. The IPO has been postponed due to the pending investigation against the National Stock Exchange (NSE), which is the primary shareholder of NSDL.

As per the rules, SEBI’s moratorium period lasts for 90 days, which means that NSDL’s IPO cannot come for 90 days. However, in the report of CNBC News-18, it has been said that NSDL will request the market regulator through a letter to reduce this day to 45 days.

NDSL is the largest depository in India based on various parameters including market share in demat price of settlement volume and value of assets held in custody. It filed its draft red herring prospectus on 9 July. Its IPO was to be offered for sale of 57,260,001 equity shares entirely.

The Offer for Sale of Equity Shares consists of 22,220,000 Equity Shares offered by IDBI Bank Limited. Up to 18,000,001 Equity Shares by National Stock Exchange of India Limited, up to 5,625,000 Equity Shares by Union Bank of India, up to 4,000,000 Equity Shares by State Bank of India, up to 4,000,000 Equity Shares by HDFC Bank Limited (SS), Unit Trust of India (SUUTI) up to 3,415,000 Equity Shares.

In April, SEBI had approved NCDL for listing in one year on completion of regulations, which would expire in April next year. At the same time, NSDL had filed papers with SEBI only last month. It was being said that this process would be completed before 2 October. However, with the new development, the listing seems difficult to happen this year.