NSE IPO: SBI Likely Largest Seller, BoB, GIC & PSU Firms to Join Rs 30,000 Crore OFS; LIC May Hold Stake

The National Stock Exchange's long-awaited initial public offering (IPO) has moved closer to reality, with the exchange expected to file its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) on June 17, 2026. According to a Moneycontrol report, State Bank of India (SBI) is likely to emerge as the largest selling shareholder in the proposed offer for sale (OFS).

NSE IPO DRHP Filing Likely Today; SBI Expected to Be Largest Selling Shareholder

As per the report, SBI may sell nearly 2.47 crore shares of NSE as part of the IPO. The proposed issue is expected to be entirely an OFS, meaning the exchange itself will not raise fresh funds, while existing investors are likely to reduce their holdings.

NSE IPO OFS: BoB, Stock Holding Corporation, GIC Among Major Sellers

Apart from SBI, several public sector institutions and foreign investors are expected to participate in the share sale. Bank of Baroda and Stock Holding Corporation of India may each offer around 1.1 crore NSE shares. Among public sector insurance companies, General Insurance Corporation of India (GIC) is expected to divest up to 1.06 crore shares, while The New India Assurance Company may sell around 1.05 crore shares.

The report further stated that National Insurance Company and United India Insurance Company are also likely to be among the selling shareholders, with both entities expected to offload nearly 60 lakh shares each.

Among overseas investors, MS Strategic (Mauritius) Limited may sell up to 1.6 crore shares, while Canada Pension Plan Investment Board (CPPIB) could offer nearly 1.18 crore shares. Aranda Investments (Mauritius) Pte. Ltd. is also expected to divest approximately 1.12 crore shares in the issue.

LIC Not Among NSE IPO Sellers; Insurance Giant Likely to Continue Holding Stake

However, Life Insurance Corporation of India (LIC), another key shareholder in NSE, is not expected to participate in the proposed IPO. Its decision to retain the stake could be seen as a long-term investment approach in India's largest stock exchange.

The NSE board had approved the IPO proposal earlier this year after receiving a no-objection certificate (NOC) from SEBI in January 2026. The exchange's IPO committee has also completed the necessary process ahead of the expected DRHP filing.

The regulatory clearance marked a significant milestone for NSE, whose listing plans had remained delayed for several years due to unresolved issues linked to the co-location controversy and other governance-related concerns.

The upcoming IPO is expected to involve the sale of nearly 6% equity by existing shareholders. Based on the exchange's estimated unlisted market valuation of around Rs 5 lakh crore, the total offer size could be close to Rs 30,000 crore, making it one of India's biggest public offerings.