NSE IPO Update: Draft Papers Likely by June Second Week; LIC, SBI, SHCIL & Global Funds Among Key Shareholders

The much-awaited initial public offering (IPO) of National Stock Exchange (NSE) is moving a step closer to reality, with the country's largest stock exchange now preparing to file its draft papers with market regulator Securities and Exchange Board of India.

NSE Listing Soon! Draft IPO Papers Likely by June 2026

According to the Fortune reports, the NSE is expected to submit its Draft Red Herring Prospectus (DRHP) to SEBI by the second week of June 2026. The filing would mark a major milestone in the exchange's long-pending listing journey, which has faced multiple regulatory and procedural delays over the years.

Sources familiar with the matter said the timeline was finalised after a series of meetings between NSE officials and the investment bankers managing the issue. Reports said the exchange and its advisors have broadly agreed to move ahead with the DRHP filing either by the end of the first week of June or in the early part of the second week.

The IPO process gathered fresh momentum earlier this year after SEBI reportedly granted a no-objection certificate in January, clearing one of the biggest hurdles for the exchange's public listing plans. The latest review meeting involving all appointed merchant bankers was held last week, where the roadmap for the IPO process was discussed in detail. NSE has not yet issued an official public statement regarding the development.

In February, NSE's board approved the plan to launch the IPO through an Offer for Sale (OFS) route. This means the exchange itself will not issue fresh shares or raise new capital. Instead, existing shareholders will sell a portion of their holdings to the public during the IPO.

NSE IPO: Major Shareholders Include LIC, State Bank of India and Overseas Investment Funds

The shareholding structure of NSE includes a mix of domestic financial institutions, insurance companies, foreign investors and individual stakeholders. Trading members and related entities together hold around 35.51% stake in the exchange ahead of the proposed IPO.

Among the key Indian shareholders, Life Insurance Corporation of India owns around 10.7% stake in NSE. Other major domestic investors include Stock Holding Corporation of India Ltd. with 4.4%, SBI Capital Markets with 4.33%, and State Bank of India holding approximately 3.23%.

Several foreign investors also hold significant stakes in the exchange. These include Aranda Investments, backed by Temasek, along with Canada Pension Plan Investment Board, Morgan Stanley-linked investment entities and other global institutional investors.

Back in 2016, when NSE had first attempted to go public, several well-known investors including Tiger Global, Goldman Sachs, Citigroup and other institutional shareholders were expected to dilute part of their stakes through the offering.

To manage the IPO process, NSE appointed 20 merchant bankers in March 2026. The list includes leading financial institutions such as Kotak Mahindra Capital, JM Financial, Axis Capital, ICICI Securities, SBI Capital Markets, Morgan Stanley, Citigroup and HSBC among others.

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