Will NSDL IPO Bring Massive Returns to SBI, NSE, and Others?
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Synopsis
The upcoming NSDL IPO promises massive returns for major stakeholders, including SBI and NSE. With phenomenal percentages of profit projected, investors are watching closely. Can they capitalize on this opportunity?
Key Takeaways
- NSDL IPO expected to yield extraordinary returns.
- SBI could see a staggering profit of 39,900%.
- NSE stands to gain 6,415% from its investment.
- Union Bank of India also profits significantly, over 15,000%.
- IPO priced at a 22% discount from unlisted market value.
New Delhi, July 26 (NationPress) The State Bank of India (SBI), National Stock Exchange (NSE), Union Bank of India, and additional stakeholders are set to gain incredible returns from their investments in the National Securities Depository Limited (NSDL) with the upcoming IPO.
In NSDL's IPO, SBI plans to sell 4 million shares of the depository at a price of Rs 800 each, which were originally purchased for only Rs 2 per share. If the share's cut-off price aligns with the upper price band, SBI could obtain Rs 800 per share, resulting in an impressive Rs 320 crore in proceeds from an initial investment of merely Rs 80 lakh, yielding a mind-boggling return of 39,900%.
The NSE holds a 24% stake in NSDL, acquired at an average price of Rs 12.28 per share, and is set to sell 1.8 crore shares, leading to a profit of Rs 1,418 crore—an extraordinary 6,415% return. Meanwhile, Union Bank of India, a later entrant, possesses 5 lakh shares bought at Rs 5.20, and stands to gain Rs 40 crore against an investment of Rs 26 lakh, resulting in returns exceeding 15,000%.
NSDL has priced its initial public offering (IPO) at a substantial discount of 22% from its current unlisted market valuation, which may appear discouraging to investors who currently hold shares priced at Rs 1,025 each in the unlisted market.
Early institutional investors are poised to reap significant rewards; however, retail investors who joined later may encounter losses.
IDBI Bank, which owns a 26% stake in NSDL, acquired this stake at an average cost of Rs 2 per share, translating into a remarkable return of over 39,000%; its stake is now valued at Rs 4,176 crore, a significant increase from its initial investment of Rs 10.44 crore.
NSDL's IPO will commence subscriptions on July 30, 2025, and will conclude on August 1, with anchor investor participation starting on July 29. This issue, which solely involves an offer for sale, aims to raise approximately Rs 4,011 crore.
Point of View
It is crucial to provide our readers with unbiased information. The NSDL IPO represents a significant opportunity for institutional investors, while retail investors may have different experiences. We encourage our audience to approach this IPO with caution and to conduct thorough research.
NationPress
26/07/2025
Frequently Asked Questions
What is NSDL?
The National Securities Depository Limited (NSDL) is an organization that holds securities in electronic form, facilitating smooth transactions in the securities market.
What returns are expected from the NSDL IPO?
Stakeholders like SBI, NSE, and IDBI Bank are expected to earn returns ranging from 15,000% to over 39,900% from their investments in NSDL.
When will the NSDL IPO be open for subscription?
The NSDL IPO will open for subscription on July 30, 2025, and will close on August 1, 2025.
What is the price band for the NSDL IPO?
The IPO is priced at a steep discount of 22% from its current unlisted market valuation.
Who are the main beneficiaries of the NSDL IPO?
Major beneficiaries include SBI, NSE, and IDBI Bank, who stand to gain significant returns on their investments.
