NSE's much-awaited IPO opens for subscription on September 17, 2026, with the bidding window remaining open until September 21, 2026. According to The Economic Times, the exchange filed its updated draft red herring prospectus (UDRHP) with SEBI and stock exchanges on Thursday, bringing the IPO another step closer to its public listing. Share allotment is expected to be finalised on September 22, while NSE shares are expected to list on the BSE on September 24, 2026. The offering will consist entirely of shares being sold by existing investors, with no fresh equity being issued by NSE. The IPO received SEBI approval on September 4, 2026, with the regulator having approved the revised structure following stakeholder reductions.
The NSE IPO size has been reduced to ₹22,600 crore, representing a 15% decrease from the originally proposed ₹26,800 crore issue size. As reported by The Economic Times, the entirely offer-for-sale (OFS) issue will comprise 126.44 million shares at a price band of ₹1,700-1,785 per share, valuing the offer at ₹21,494-22,568 crore. At the upper end of the price band, NSE will raise ₹22,561.5 crore and command a valuation of ₹4.42 lakh crore. The final red herring prospectus saw the size of the OFS reduced from 148.91 million shares to 126.44 million shares, as several corporate shareholders cut the number of shares they plan to sell. NSE's Chief Executive and Managing Director Ashishkumar Chauhan explained that the OFS size was reduced by corporate selling shareholders after it became clear that the shares offered had already exceeded the regulatory requirement for the IPO. The price band of ₹1,700-1,785 per share is around 26% lower than NSE's record high of around ₹2,400 touched in June 2025 and 6% below the current unlisted market price of ₹1,990. At ₹1,785 per share, NSE will command a valuation of ₹4.42 lakh crore, putting it in the league of companies like Hindustan Unilever (current market capitalisation of ₹4.5 lakh crore), Titan (₹4.4 lakh crore) and Sun Pharma (₹4.4 lakh crore).
At the upper end of the price band, the NSE IPO will be valued at around ₹4.42 lakh crore, representing a significant reduction from the earlier targeted valuation of up to ₹5.26 lakh crore. According to The Economic Times, at the upper end of the price band, it will be the largest IPO in India's financial sector and the second-largest public issue in the country after Hyundai Motor India's ₹27,870-crore IPO in 2024, though it will be larger than the ₹21,000-crore IPO of Life Insurance Corporation of India (LIC) launched in 2022. The revised issue size makes it the country's second-largest public issue after Hyundai Motor India's ₹27,800-crore IPO in 2024, though it will be larger than the ₹21,000-crore IPO of Life Insurance Corporation of India (LIC) launched in 2022. The lower pricing and reduced OFS size have led several selling shareholders to cut their offer sizes, as they believe they could command better valuations by offloading their stakes at a later stage. The IPO is estimated to raise ₹21,494-22,568 crore, significantly lower than the earlier estimate of around ₹30,000 crore, reflecting the lower-than-expected valuation. At ₹30,000 crore, NSE's IPO was set to become India's largest ever, surpassing Hyundai Motor India's ₹27,870-crore issue in October 2024. With the proposed reduction in issue size, Hyundai Motor India is likely to retain the record until Jio Platforms launches its proposed ₹37,000-crore IPO, expected around the Navratri-Diwali period.
NSE's decision to trim its IPO size and price the issue below earlier market expectations reflects a strategic balancing act between aggressive valuation and market demand, as noted by The Economic Times. At around 43 times FY26 earnings, NSE would still be valued at a premium to most global exchanges, however, the valuation looks more reasonable when compared with listed Indian market infrastructure peers such as BSE and MCX, according to Ishan Tanna, Senior Associate at Ashika Capital. The lower pricing appears to be a pragmatic move to leave some upside for new investors and avoid a weak listing, as large IPOs need wide institutional demand and bankers often prefer pricing that gives investors comfort rather than maximising valuation for sellers. NSE is a rare asset in Indian markets, with a dominant position in equity derivatives, a strong presence in cash equities and deep links to India's financial-market infrastructure. For existing shareholders, the decision to sell less may also reflect confidence in the company after listing, with the exchange remaining one of India's most profitable and dominant market infrastructure companies.
Canada Pension Plan Investment Board Corporate will offload up to 11.8 million NSE shares at the upper price band, having acquired them at an average cost of ₹324.13 per share. Aranda Investments (Mauritius) Pte Ltd will sell up to 11.2 million NSE shares with an average acquisition cost of ₹62.38 per share. MS Strategic (Mauritius) Limited will offload 11 million NSE shares, having reduced its proposed sale from 1.6 crore shares in the DRHP. The New India Assurance Company Ltd. Corporate will sell 10.5 million NSE shares, while SBI Capital Markets will offload 8.78 million shares in the revised structure. Bank of Baroda will sell 76.9 lakh shares, and Stock Holding Corporation of India Limited Corporate will offer 61.87 lakh equity shares in the OFS. At ₹1,785 per share, SBI could book an estimated ₹2,849 crore gain, followed by MS Strategic at ₹2,650 crore and Aranda Investments at ₹1,938 crore. Amit Kumar Lohia withdrew from the OFS, while SBI Capital Markets joined the OFS with 8.78 million shares. Some of the early investors in NSE, all PSUs, are making up to 5,578 times return in the offer.
NSE has earmarked shares worth up to ₹70 crore for its employees, with eligible employees receiving a ₹170-per-share concession on the final IPO price. Retail investors will be able to place bids for at least eight shares, with additional bids allowed only in multiples of eight. At the upper price of ₹1,785, the minimum retail application will amount to ₹14,280, while the maximum investment will be capped at ₹1,99,920. For qualified institutional buyers and other institutional investors, the anchor allocation will take place on September 16, a day before the IPO opens for other investors. The share allotment is likely to be completed on September 22, with the exchange setting the lot size at eight shares. The issue will have a reservation of 50% for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs) and 35% for retail investors, as per the red herring prospectus. The shares of NSE will be listed only on BSE since Sebi doesn't allow self-listing, meaning an exchange cannot list its own shares on its trading platform.
