Archive · 18 Sep 2026
NSE IPO Draws Subscribe Ratings Despite Derivatives Risks
The National Stock Exchange of India is selling shares to the public through an IPO.
It wants to raise Rs 22,568 crore.
Investors can buy shares for Rs 1,700 to Rs 1,785 each.
The IPO received 43% subscription on its first day.
Two research firms said investors should subscribe to the issue.
They believe NSE is a strong and important market platform in India.
They also expect Indian capital markets to grow over time.
However, NSE faces competition and may lose some options-market business.
New rules or legal costs could also hurt the company.
Nirmal Bang Securities and Spark’s Midas Equities & Research rated the NSE IPO “Subscribe.”
The offer seeks to raise Rs 22,568 crore at a price band of Rs 1,700-1,785 per share.
The issue received 43% subscription through nearly 12 lakh applications on its first day.
Analysts cited NSE’s market leadership, integrated platform, debt-free status and Indian capital-market growth potential.
Key risks include regulatory intervention, options-market share loss, competition and potential litigation or regulatory charges.
- Who
- The National Stock Exchange of India, existing shareholders selling shares, and research firms Nirmal Bang Securities and Spark’s Midas Equities & Research.
- What
- NSE launched an initial public offering seeking to raise Rs 22,568 crore through an offer for sale.
- When
- The issue opened on September 17, closes on September 21, and is scheduled to list on September 24.
- Where
- The shares are scheduled to be listed on BSE Limited in India.
- Why
- The research firms recommended subscribing because of NSE’s market leadership, integrated platform and the long-term growth potential of Indian capital markets, while noting several risks.
Reasons to Subscribe
Risks and Concerns
Market position
Reasons to Subscribe
Nirmal Bang and Spark’s Midas said NSE’s strong franchise, larger scale, integrated platform and near-monopoly position support the IPO.
Risks and Concerns
The market position does not eliminate the risk of continued share loss in options trading as competition increases.
Valuation
Reasons to Subscribe
Nirmal Bang said the valuation offers a reasonable entry point at a discount to BSE’s cited 54.6-times multiple, with operational pressures already reflected.
Risks and Concerns
NSE is offered at 35.4 times annualized Q1FY27 earnings and 42.9 times FY26 earnings at the upper price band, leaving investors exposed if growth or profitability weakens.
Regulation and costs
Reasons to Subscribe
Spark’s Midas said regulation has reset near-term volumes but not damaged the underlying franchise, while Nirmal Bang said the company’s scale can help it navigate changes.
Risks and Concerns
Analysts identified possible Securities and Exchange Board of India intervention in index derivatives, further regulatory or litigation charges, and heavier options concentration as key risks.
- Fundraising target
- Rs 22,568 crore
- Price band
- Rs 1,700-1,785 per share
- Lot size
- 8 equity shares
- First-day subscription
- 43%, with nearly 12 lakh applications
- Offer structure
- Offer for sale of up to 12.64 crore shares by existing shareholders
- Scheduled listing
- September 24 on BSE Limited
- Valuation at upper band
- 42.9 times FY26 earnings per share and 13.8 times March 2026 book value