NSE-BSE IFSC units may file merger plea by September-end
NSE-BSE IFSC units may file merger plea before NCLT by September-end . ANI
The proposal to merge the units of the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) within the Gujarat International Finance Tec-City (GIFT City) has progressed to an advanced stage and both the houses are expected to file an application before the National Company Law Tribunal (NCLT) as early as this month, according to a top regulatory official.
Sources indicated that the merger proposal involving two prominent stock exchange giants, the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE), has secured approval from their respective boards.
This development is particularly noteworthy as NSE and BSE have long been known as arch rivals in the fiercely competitive arena of onshore trading.
However, the unexpected move to integrate their fledgling platforms within the Gujarat International Finance Tec-City (GIFT City) comes following a push from the government informed sources.
“Trading volumes are already thin at these two offshore platform. Running too many competitive exchanges could further fragment liquidity. The idea is to present a United front, gain form each others synergies and jointly developed IFC trading platform” explained another officer.
More details of the proposed merger are not known however these in the known indicate that it could be all share merger.
As per the annual report, the BSF has invested approximately Rs 225 crore in India INX and its associated clearing corporation. Sources say NSE would have the biggest share in the merge entity. Both India INX and NSE IFSC commenced their operations in 2017, facilitating global securities trading, equity, commodity trading, and the listing of securities with a focus on sustainability, including green bonds.
NSE-BSE IFSC units may file merger plea before NCLT by September-end . ANI
The proposal to merge the units of the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) within the Gujarat International Finance Tec-City (GIFT City) has progressed to an advanced stage and both the houses are expected to file an application before the National Company Law Tribunal (NCLT) as early as this month, according to a top regulatory official.
Sources indicated that the merger proposal involving two prominent stock exchange giants, the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE), has secured approval from their respective boards.
This development is particularly noteworthy as NSE and BSE have long been known as arch rivals in the fiercely competitive arena of onshore trading.
However, the unexpected move to integrate their fledgling platforms within the Gujarat International Finance Tec-City (GIFT City) comes following a push from the government informed sources.
“Trading volumes are already thin at these two offshore platform. Running too many competitive exchanges could further fragment liquidity. The idea is to present a United front, gain form each others synergies and jointly developed IFC trading platform” explained another officer.
More details of the proposed merger are not known however these in the known indicate that it could be all share merger.
As per the annual report, the BSF has invested approximately Rs 225 crore in India INX and its associated clearing corporation. Sources say NSE would have the biggest share in the merge entity. Both India INX and NSE IFSC commenced their operations in 2017, facilitating global securities trading, equity, commodity trading, and the listing of securities with a focus on sustainability, including green bonds.
