Mumbai (Maharashtra) [India], February 1 (ANI): The Initial Public Offering (IPO) of the National Stock Exchange (NSE) is expected to be launched in the next 7 to 8 months, with the Draft Red Herring Prospectus (DRHP) scheduled to be prepared within 3 to 4 months, said Ashish Chauhan, Managing Director and CEO of NSE, on Sunday.
Speaking to ANI, Chauhan said, “We have been trying to get the No Objection Certificate (NOC) for the IPO for a decade, and we finally succeeded last week when SEBI gave the final approval.” The exchange has been seeking regulatory clearance for its public listing for several years, following governance concerns and scrutiny over the co-location controversy. NSE had initially filed its DRHP in December 2016, but the process was delayed by regulatory challenges, particularly allegations of unfair access to its algorithmic trading platform.
On the Securities Transaction Tax (STT) changes announced in the Union Budget 2026, Chauhan said the markets will gradually absorb the revisions, and they are unlikely to significantly affect the asset quality of stock brokers or exchange-listed entities. “The increase in STT is unlikely to impact the proposed NSE IPO or companies that are already listed. Overall, the market adjusts over time, and the asset quality of brokers and listed entities will remain stable,” he added.
He emphasised that India’s strong economic growth will continue to attract investors to the stock market, including instruments such as futures and bonds. “The hike in STT will not have any major impact on the broader market ecosystem,” Chauhan said.
The Union Budget 2026 proposed a substantial increase in STT on futures and options trades: for futures contracts, STT has risen from 0.02% to 0.05%; for options, STT on the premium has been raised from 0.1% to 0.15%, and STT on the exercise of options has also been increased to 0.15%. STT is levied on every buy or sell transaction in the stock market, including shares, futures, and options, and directly affects trading costs, particularly for frequent traders, hedgers, and arbitrageurs. (ANI)
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