NATIONAL COMMODITY & DERIVATIVES EXCHANGE LIMITED

NATIONAL COMMODITY & DERIVATIVES EXCHANGE LIMITED FILES OFFER DOCUMENT WITH SEBI FOR AN IPO

Link to DRHP:

https://www.icicisecurities.com/CMT/Upload/ArticleAttachments/NCDEX%20DRHP.pdf

National Commodity & Derivatives Exchange Limited (NCDEX or the Exchange) files Offer Document for an Initial Public Offering of Equity Shares of Face Value of ₹10 each (“Equity Shares”) for cash at a Price per Equity Share (“Offer Price”), comprising a Fresh Issue of up to Equity Shares aggregating up to ₹1,000 million (the “Fresh Issue”) and an Offer For Sale of up to 14,453,774 Equity Shares by the Selling Shareholders (The “Offer For Sale” And Together With The Fresh Issue Referred To As The “Offer”).  The Selling Shareholders include: Build India Capital Advisors LLP, Canara Bank, Indian Farmers Fertiliser Cooperative Limited, Investcorp Private Equity Fund I (formerly known as IDFC Private Equity Fund III), Jaypee Capital Services Limited, National Bank for Agriculture and Rural Development, Oman India Joint Investment Fund and Punjab National Bank. The Book Running Lead Managers (BRLMs) are ICICI Securities Limited and SBI Capital Markets Limited.

National Commodity & Derivatives Exchange Limited (“Exchange”) is a leading agricultural commodity exchange in India, with a market share of 78.0%, 81.5%, 79.9% and 78.1% in the agricultural commodity segments, based on average daily turnover (by value) (“ADTV”) for the six month period ended September 30, 2019, Fiscal 2019, Fiscal 2018 and Fiscal 2017, respectively (source: CARE Report). The Exchange has maintained its leadership position since 2005, in the agricultural commodity derivatives market, in terms of ADTV (Source: CARE Report). Further, the Exchange is a professionally managed company, which is driven by technology.

As of September 30, 2019, the Exchange’s network comprised 380 members, 13,316 terminals, nine WSPs, 12 clearing banks, 41 financial institutions and 246 FPOs representing 461,619 farmers, thereby encouraging a virtuous cycle. In addition, as on September 30, 2019, NeML’s network comprised 171 mandis and had approximately 8,900 members and 7.8 million farmers, connected to its platform through the various projects managed by it.

Some of the key investors include National Stock Exchange of India Limited (“NSE”), Life Insurance Corporation of India (“LIC”), National Bank for Agriculture and Rural Development (“NABARD”), Indian Farmers Fertiliser Co-operative Limited (“IFFCO”), Oman India Joint Investment Fund, Punjab National Bank, Canara Bank, Build India Capital Advisors LLP, and Investcorp Private Equity Fund I (formerly known as IDFC Private Equity Fund III).