National Stock Exchange of India Ltd (NSE) has scaled back its initial public offering (IPO) size after a clutch of key institutional shareholders, led by Morgan Stanley's investment vehicle, trimmed their planned stake sales, according to two people directly aware of the development.
The NSE IPO, reported to be India's biggest ever, initially planned to raise around ₹30,000 crore by selling a 6% stake (149 million shares). With the issue size now cut to about 5.5% stake, it is set to raise around ₹23,000 crore, making it smaller than the country's largest public listing—Hyundai Motor India's ₹27,000-crore debut in 2025.
The Economic Times reported on 4 September that NSE plans to price its IPO near ₹1,800 per share. Bloomberg News reported on 8 September that the total stake on offer was reduced to about 5.5% from the planned 6%.
Morgan Stanley’s investment vehicle, MS Strategic (Mauritius), which was originally the second-largest selling shareholder and had offered 16 million shares, is likely to have cut its stake sale by 5 million shares, Mint has learnt.
Other investors likely to have reduced their original stake sales include state-backed entities and global funds. State-run lenders Bank of Baroda and Indian Bank have likely cut their planned offerings to 7.69 million and 1.50 million shares, down from 10.99 million and 2.48 million, respectively.