NCDEX Files For Rs 500 Crore IPO

The National Commodity and Derivatives Exchange Limited (NCDEX) filed its offer document with the Securities and Exchange Board of India (SEBI) for an initial public offering to raise about Rs 500 crore.

The IPO will comprise of a fresh issue aggregating up to Rs 100 crore and an offer for sale (OFS) of up to 1,44,53,774 equities by shareholders, according to the draft red herring prospectus (DRHP).

The issue is expected to raise about Rs 500 crore, merchant banking sources told PTI.

This will be third listing by an exchange in India, after BSE and MCX.

Build India Capital Advisors, Canara Bank, Indian Farmers Fertiliser Cooperative, Investcorp Private Equity Fund I are among the selling shareholders.

Jaypee Capital Services, NABARD, Oman India Joint Investment Fund and Punjab National Bank will also sell their stakes.

Some of the key investors in NCDEX include NSE, LIC and NABARD.

NSE holds 15 percent stake in the leading agricultural commodity exchange, while LIC and NABARD have 11.10 percent each, IFFCO 10 percent, OIJIF 10 percent and PNB 7.29 percent among others, according to the DRHP.

The exchange proposes to utilise the net proceeds towards contribution to the core settlement guarantee fund, towards net worth requirements of National Commodity Clearing Limited and general corporate purposes, as per the document.
The book running lead managers to the offer are ICICI Securities and SBI Capital Markets.

NCDEX offers services across the entire post-harvest agricultural commodities value chain by utilising a varied presence, which has enabled it to create a wide network of stakeholders and market participants. It also engages in research, training and building awareness in the agricultural commodities market through NCDEX Institute of Commodity Markets and Research.

The shares are proposed to be listed on the BSE and NSE.