National Securities Depository Limited (NSDL), the country's first and oldest depository, is now set to enter the stock market. The company's Initial Public Offering (IPO) will open on Wednesday, July 30, 2025, and applications can be made until August 1, 2025. The anchor investor booking will open on July 29, prior to the IPO.
NSDL had applied to the Securities and Exchange Board of India (SEBI) for listing approval in July 2023. Subsequently, the company filed its addendum in May 2025, reducing the issue size.
IPO Entirely OFS, No New Equity to be Issued
This IPO is being brought entirely as an Offer For Sale (OFS). This means that the company is not issuing any new shares in this offering; rather, its existing shareholders are selling their stake.
A total of 5.01 crore shares will be offered in the market through this issue. Previously, the size was 5.72 crore shares, which was later reduced to 5.01 crore.
Major Names Selling Stake in the IPO
The list of investors selling shares in this issue is extensive. It includes IDBI Bank, State Bank of India (SBI), National Stock Exchange (NSE), HDFC Bank, Union Bank of India, and Specified Undertaking of Unit Trust of India (SUUTI).
Details of Institutional Sale are as Follows:
- IDBI Bank – 2.22 crore shares
- NSE – 1.80 crore shares
- SBI – 40 lakh shares
- HDFC Bank – 20 lakh shares
- Union Bank of India – 5 lakh shares
- SUUTI (Administrator) – 34.15 lakh shares
The face value of all these shares is ₹2 per share.
IDBI and NSE Reducing Stake Due to SEBI Regulations
Currently, IDBI Bank holds a 26.01 percent stake in NSDL, and NSE holds a 24 percent stake. According to SEBI regulations, no entity can hold more than 15 percent stake in a Market Infrastructure Institution. In compliance with this regulation, IDBI and NSE are reducing their stakes.
Through this IPO, these institutions will be able to bring their ownership within the regulatory ambit.
IPO Valuation Targets Approximately $1.85 Billion
NSDL is targeting a valuation of approximately $1.85 billion (around ₹16 thousand crore) from its IPO. However, the issue's price band and other financial details have not yet been disclosed.
SEBI has given the company final permission to list on the stock market by August 14, 2025. This means that the issue, opening on July 30, will be listed on the stock market within two weeks.
Big Names Involved in IPO Management
The responsibility for managing this highly anticipated issue has been given to the country's major financial institutions. The list of Book Running Lead Managers (BRLMs) for NSDL's issue includes:
- ICICI Securities
- Axis Capital
- HSBC Securities
- IDBI Capital
- Motilal Oswal Investment Advisors
- SBI Capital Markets
The issue process, price discovery, and share allocation process will be completed under their supervision.
India's Oldest Depository, Accounts of Crores of Investors
NSDL was established in 1996 and is India's first depository to introduce the facility of holding shares in electronic form. Today, a large number of the crores of demat accounts in the country are registered with NSDL.
The company's main job is to maintain investors' demat accounts, record transactions, and operate under the rules set by SEBI.
Association with NSE and a Name of Trust in the Market
A major reason for NSDL's credibility is its close association with NSE and other government banks. This depository is considered an important cornerstone of the country's financial system.
Big names like NSE and SBI are its promoters and shareholders, which builds trust among investors regarding this depository.
Increasing Competition in the Depository Sector
In recent years, other depository companies like CDSL have also strengthened their presence. However, NSDL remains the oldest and largest institution.
After this IPO, comparative discussions between NSDL and CDSL at the investor level may increase.
