Agricultural commodity bourse, National Commodity, and Derivatives Exchange Ltd., has been given Securities and Exchange Board of India’s approval to launch the Rs 500-crore initial public offer.
The offering includes a new issue aggregating up to Rs 100 crore and an offer for sale of up to 1.44 crore shares, according to the draft red herring prospectus.
In an update on April 10, the regulator has provided analysis to NCDEX’s IPO on April 9.
Sebi’s observations are important for any organisation to start public issues like initial share-sale, follow-on public offer and rights issue.
The organisation had approached the Securities and Exchange Board of India with its IPO papers in February.
After BSE and MCX, this would be the third listing by an exchange.
The public issue is likely to raise about Rs 500 crore, including from the fresh offering of shares, merchant banking sources stated.
Build India Capital Advisors LLP, Canara Bank, Indian Farmers Fertiliser Cooperative, Investcorp Private Equity Fund I are among the selling shareholders.
Besides, Jaypee Capital Services, National Bank for Agriculture and Rural Development, Oman India Joint Investment Fund, and Punjab National Bank will also sell their stakes.
Last month, the regulator had sought clarification from the merchant banker of NCDEX regarding its proposed IPO.
The exchange 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 agricultural commodities market through NCDEX Institute of Commodity Markets and Research.