The Rs 3,000 crore initial public offering (IPO) of National Securities Depository Ltd (NSDL) has been put under 'abeyance' by the market regulator Securities and Exchange Board of India (SEBI).

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According to sources, the offer has been put in abeyance amid a pending investigation against its majority shareholder National Stock Exchange (NSE).

According to SEBI rules, the abeyance period lasts for 90 days. However, sources tell CNBC-TV18 that NSDL is likely to write to the market regulator for reducing the abeyance period to 45 days.

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The overall IPO size is expected to be nearly Rs 3,000 crore and is purely an offer for sale (OFS) by existing shareholders. NSE and IDBI Bank are among the largest shareholders in the depository, holding a 24 percent and 26.1 percent stake, respectively.

However, according to SEBI's D&P regulations, a significant stake beyond the permissible limit of 15 percent in a depository shall be reduced to the specified limit within 5 years after the regulations took effect in 2018.

First Published:Aug 3, 2023 7:41 PM IST