NSE accelerates IPO plans by shortlisting global investment banks and legal advisors
India’s largest stock exchange, the National Stock Exchange (NSE), has moved a step closer to its long-awaited public listing by shortlisting around 20–21 investment banks to handle the exchange’s mega initial public offering (IPO). The development marks a significant milestone in the IPO preparation process and signals that the exchange is actively progressing toward what could become one of the most significant listings in India’s capital market history.
According to sources familiar with the matter, the shortlist includes several leading domestic and international investment banks such as Kotak Mahindra Capital, Citi, JM Financial, JP Morgan, HSBC Securities and Morgan Stanley, among others. These institutions will compete for the coveted role of book-running lead managers (BRLMs) for the offering.
In addition to investment banks, the exchange has also shortlisted seven to nine leading law firms that will provide legal advisory services during the IPO process. These firms will assist in regulatory filings, due diligence, drafting of offer documents and coordination with market regulators.
The shortlisting follows a request for proposal (RFP) issued earlier by the exchange inviting financial institutions and law firms to pitch for advisory roles. Presentations by competing investment banks began recently, with the final selection of advisors expected by mid-March or shortly thereafter.
Market participants view the move as a clear signal that the long-anticipated listing of NSE — which has been discussed for years — is finally gaining momentum.
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Rothschild appointed as independent advisor to ensure transparent and governance-driven IPO process
To ensure transparency and institutional oversight during the IPO preparation process, NSE has appointed Rothschild & Co as an independent financial advisor.
The appointment came after evaluating proposals from multiple advisory firms on both technical expertise and commercial parameters. Rothschild’s role is to oversee the advisor selection process and ensure that the listing preparations adhere to a transparent and governance-driven framework.
In a previous statement, NSE outlined the scope of Rothschild’s responsibilities, emphasizing that the advisor will manage the selection of key intermediaries involved in the listing.
According to the exchange, the advisor will:
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Develop an objective evaluation framework for selecting book-running lead managers and legal advisors
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Define transparent selection criteria and governance standards
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Manage the advisor selection process from documentation to evaluation
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Coordinate feedback from internal stakeholders and committees
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Ensure information parity and fair communication among all participants
The involvement of an independent advisor is particularly important given the scale and complexity of the IPO, which is expected to draw strong participation from global institutional investors.
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IPO to be structured as an offer for sale by existing shareholders
The NSE board had earlier approved the IPO proposal during a meeting held on February 6, deciding that the issue would be structured primarily as an offer for sale (OFS).
Under this structure, the shares sold in the IPO will come from existing shareholders of the exchange, rather than issuing new shares. This means that the funds raised through the IPO will largely go to current investors seeking partial exits rather than directly to the exchange.
Some of NSE’s prominent institutional shareholders include:
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Life Insurance Corporation of India (LIC)
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State Bank of India (SBI)
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Temasek Holdings of Singapore
The listing is expected to provide liquidity to these investors and unlock value from their long-term holdings in the exchange.
For the broader market, the IPO will represent a rare opportunity to invest directly in India’s largest and most influential stock exchange, which plays a central role in the country’s financial ecosystem.
NSE strengthens governance framework with reconstituted IPO committee
As part of its preparations for the public listing, NSE has also strengthened its internal governance mechanisms by reconstituting a dedicated IPO Committee following the board’s approval of the listing plan.
The committee has been tasked with overseeing key decisions related to the IPO process, including advisor selection, regulatory coordination and overall execution strategy.
The reconstituted committee includes several senior professionals and public interest directors:
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Tablesh Pandey – Chairperson (Non-Independent Director)
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Srinivas Injeti – Public Interest Director
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Prof. (Dr.) Mamata Biswal – Public Interest Director
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Justice (Retd.) Abhilasha Kumari – Public Interest Director
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Prof. G. Sivakumar – Public Interest Director
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Ashish Kumar Chauhan – Managing Director and CEO
The committee’s role is to ensure that the IPO process is conducted with high standards of governance, regulatory compliance and institutional oversight, reflecting the importance of the exchange within India’s financial infrastructure.
A closer look at NSE’s scale and dominance in India’s capital markets
Established in 1992 and commencing operations in 1994, NSE revolutionized Indian capital markets by introducing the country’s first fully electronic trading platform. Over the past three decades, the exchange has grown into the dominant trading venue in India and one of the largest derivatives exchanges in the world.
Today, NSE provides a technology-driven trading ecosystem covering multiple asset classes including:
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Equities
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Debt securities
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Currency derivatives
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Commodity derivatives
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Exchange traded funds (ETFs)
According to the exchange’s 2025 annual report, NSE continues to expand both its investor base and market participation.
Key highlights include:
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11.3 crore unique registered investors, representing a 23 percent year-on-year increase
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Nearly 22 crore investor accounts on its platform
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Around 2,720 companies listed on the exchange
These figures reflect the rapid growth of retail participation and the increasing depth of India’s capital markets.
NSE reports strong financial growth and record capital mobilisation
From a financial perspective, NSE has reported robust growth across key metrics in recent years.
For FY25, the exchange reported:
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Total consolidated revenue of ₹19,177 crore, up 17 percent year-on-year
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Profit after tax of ₹12,188 crore, reflecting a strong 47 percent growth
The exchange’s profitability underscores the strength of its technology-driven trading model, which benefits from high trading volumes across equities and derivatives.
In its annual report, NSE Managing Director and CEO Ashish Kumar Chauhan highlighted the exchange’s pivotal role in enabling capital formation in India’s economy.
He stated:
“FY24–25 marked a historic high in India’s capital market journey, with NSE playing a pivotal role in enabling enterprise and empowering entrepreneurship across the issuer spectrum.”
According to the exchange, it facilitated a record ₹18.7 lakh crore (around $219 billion) in capital mobilisation during the financial year.
This included:
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₹14.2 lakh crore raised in the debt segment, representing 24 percent year-on-year growth
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₹4.26 lakh crore raised through equity markets
The record capital mobilisation highlights the growing importance of India’s capital markets as a funding channel for corporate expansion and infrastructure development.
Here’s what happened today and why traders reacted
The news that NSE has shortlisted investment banks and legal advisors for its IPO has generated considerable interest in financial markets because it indicates real progress toward the exchange’s long-awaited listing.
Key developments include:
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Shortlisting of 20–21 global investment banks for IPO mandates
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Selection of 7–9 law firms to handle legal aspects
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Appointment of Rothschild as independent advisor
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Confirmation that the IPO will proceed through an offer for sale structure
For traders and investors, these developments suggest that NSE’s IPO preparations have entered an advanced stage, increasing expectations that the listing could take place once regulatory clearances and advisor appointments are finalized.
What the NSE IPO could mean for markets and investors
The listing of NSE is expected to be a landmark event for India’s financial markets, given the exchange’s central role in trading infrastructure and capital formation.
For investors, the IPO could offer exposure to a highly profitable and strategically important financial institution that benefits from rising trading volumes, expanding investor participation and increasing financial market activity in India.
For the broader market ecosystem, the listing could:
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Enhance transparency and governance standards for the exchange
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Provide liquidity to early institutional investors
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Strengthen India’s position as a major global capital market hub
If executed successfully, the NSE IPO could rank among the most significant listings in the history of India’s financial markets, attracting strong participation from both domestic and international institutional investors.
Market participants will now closely monitor the next steps in the process — including the final appointment of advisors, regulatory approvals and the eventual IPO timeline — which will determine when the country’s largest stock exchange finally makes its long-awaited debut on the public markets.
