Unlisted Share Price and Crucial Details Suggest Possible NSDL IPO in July 2025?
Get the lowdown on India's biggest depository, National Securities Depository (NSDL), set to hit the market with a bang. The IPO could happen as early as July, raising around $400 million. Here's the juicy deets you need!
Soaring Unlisted Share Prices
Unlisted shares of the anticipated IPO-bound NSDL are seeing a strong buying interest. The unlisted scrip has surged over 30% since May, and that's not all! It has advanced an impressive 40% since April alone. The grey market is buzzing with NSDL shares hovering around Rs 1,250 a share, contrasted with a humble Rs 995 in early April.
Unraveling IPO Particulars
Initially cleared by the Securities Exchange Board of India (SEBI) last October, the IPO may finally make its appearance in July. Despite no official confirmation from the company, the anticipation is high. The initial plan consisted of offering 57.26 million shares, but that number has been whittled down to approximately 50.15 million shares in the addendum filed to the Draft Red Herring Prospectus.
Potent Q4 Profits
NSDL showcased a robust financial performance in Q4 of the financial year 2024-25. The net profit skyrocketed by 4.77% year-on-year to Rs 83.3 crore in Q4 FY25. To add fuel to the fire, the total income during Q4 FY25 increased by a staggering 9.94% YoY to Rs 394 crore.
The Banking Arm of NSDL
NSDL's main source of income comes from its banking services subsidiary, NPBL (NSDL Payments Bank Ltd.). Established on August 17, 2016, NPBL is a payments bank that commenced operations on October 29, 2018. It offers a range of payment banking services. NSDL holds 100% ownership and voting power in NPBL.
A Battle of Giants: NSDL vs CDSL
Though both depositories share similar business, they cater to distinct clientele. While CDSL has a sizable retail investor base, NSDL draws its business from big companies and high-net-worth individuals. NSDL boasts the largest number of issuers and is also the preferred platform for government securities, corporate bonds, and CDs.
Pre-IPO Frenzy and Beyond
With the IPO on the horizon, NSDL is expecting to raise substantial funds and assert its dominance against CDSL. Its unlisted share prices, strong quarterly profits, and chiseled IPO plans make it a compelling investment option. Keep your eyes peeled for updates and prepare to dive into the exciting world of NSDL IPO!
- The strong buying interest in NSDL's unlisted shares, which have surged over 30% since May, indicates a promising market for its upcoming IPO.
- Anticipated to hit the market in July, NSDL's IPO, initially planning to offer 57.26 million shares, could be scaled down to approximately 50.15 million shares in light of recent filings.
- NSDL's banking services subsidiary, NPBL, plays a significant role in its income generation, offering various payment banking services and catering to businesses and high-net-worth individuals.
- As both NSDL and CDSL prepare for their respective IPOs, the race between the two leading depositories promises to reshape the finance and investing landscape, with NSDL focusing on big companies, high-net-worth individuals, and government securities.
