Nse India: NSE IPO on the Horizon: LIC’s Growing Stake Set for Major Boost

NDS Desk July 2, 2025

37 2 minutes read

Nse India: Lucknow, Uttar Pradesh, India – The path for the National Stock Exchange (NSE) to go public appears clearer than ever. Recent developments, including a significant settlement offer to SEBI and positive signals from regulatory bodies, are fueling expectations for the long-awaited NSE Initial Public Offering (IPO).

A major player poised to benefit from this potential listing is the Life Insurance Corporation of India (LIC). NSE has ascended to become LIC’s fifth most valuable holding among its diverse investment portfolio. As of the close of the March 2025 quarter, LIC boasts a substantial 10.7% ownership stake in NSE, translating to 26.53 crore shares. At the current unlisted market price, hovering around Rs 2,500 per share, this holding is valued at a formidable over Rs 66,319 crore.

This significant investment positions NSE among LIC’s top-tier assets. Its leading holdings include Reliance Industries (valued at Rs 1.34 lakh crore), followed by ITC (Rs 80,874 crore), HDFC Bank (Rs 72,180 crore), and State Bank of India (Rs 68,031 crore). LIC’s broader investment strategy in Q4 encompassed 351 stocks, with a total portfolio exceeding Rs 15.18 lakh crore.

NSE’s Soaring Valuation and Investor Interest

The National Stock Exchange’s total valuation is currently estimated at an impressive Rs 5.7 lakh crore, firmly placing it among India’s top 10 most valuable companies. This robust valuation is underpinned by strong momentum in its unlisted shares, which have seen a remarkable 50% surge in price over the past month. As of early July 2025, unlisted NSE shares are trading in a range of ₹2,250 to ₹2,400 per share.

Beyond LIC, other prominent investors in NSE include the Stock Holding Corporation of India, with an estimated stake valued at Rs 27,500 crore, State Bank of India at Rs 19,961 crore, and renowned investor Radhakishan Damani, holding an investment worth approximately Rs 9,771 crore.

Clearing the Path: Regulatory Progress for NSE IPO

The renewed optimism surrounding the NSE IPO stems largely from recent assurances by SEBI Chairman Tuhin Kanta Pandey. He confirmed that there are no regulatory impediments to the IPO, specifically clarifying that the long-discussed issue of demerging clearing corporations is no longer a barrier to the listing process.

Further demonstrating its commitment, NSE has initiated a consent settlement with SEBI concerning its historical co-location and dark fiber cases. On June 20, the exchange submitted its consent application and has agreed to a payment of Rs 1,388 crore. This represents the highest settlement amount ever proposed to the regulator. Should this settlement be finalized, SEBI is anticipated to issue a No-Objection Certificate (NOC) by late July or mid-August 2025, potentially paving the way for the IPO to launch by the final quarter of the current fiscal year (FY26).

These positive developments, coupled with strong investor interest, suggest the NSE IPO is on a fast track, promising to unlock substantial value for its existing shareholders like LIC and present a significant investment opportunity in the Indian market.

EPaper: Divya Sandesh