NSE IPO Moves Closer as SEBI Clears ₹1,800 Crore Settlement Path
- 22nd April 2026
- 04:30 PM
- 3 min read
Summary
NSE's long-delayed IPO may be a step closer to revival after a SEBI expert panel approved the exchange's proposal to settle key regulatory cases for around ₹1,800 crore, ET reported. The settlement covers the colocation and dark fibre cases that have blocked NSE's public listing for nearly a decade. NSE has not made a public announcement confirming the development.Mumbai | 22 April 2026
The National Stock Exchange’s IPO prospects have received a potential boost after a SEBI advisory committee cleared NSE’s settlement proposal. The panel’s recommendation now moves to SEBI’s two whole-time members for a final decision.
What Is the SEBI Settlement Proposal?
The proposed settlement covers two long-running regulatory cases against NSE: the colocation case and the dark fibre case. NSE had initially submitted settlement applications proposing payments of over ₹1,300 crore, comprising ₹1,165 crore for the colocation case and ₹223 crore for the dark fibre case. The revised figure, now reported at around ₹1,800 crore, reflects further discussions with the regulator, ET reported.
If accepted, the payout would rank as the largest settlement ever made with SEBI.
Who Reviewed the Proposal?
The four-member expert committee that cleared the proposal is chaired by Jai Narayan Patel, former Chief Justice of the Calcutta High Court. Its other members are N Venkatram, country chair of CDPQ India; SK Mohanty, former whole-time SEBI member; and Sarit Jafa, former deputy comptroller and auditor general, ET reported.
The committee evaluates complex regulatory and legal settlement cases before forwarding recommendations to SEBI’s senior leadership.
Why Does This Matter for the NSE IPO?
NSE first filed for an Initial Public Offering (IPO) with SEBI on 18 October 2016, making it one of India’s longest-pending listings. SEBI had withheld approval over concerns linked to the colocation case, governance lapses, and technology-related issues at the exchange.
After Tuhin Kanta Pandey took charge as SEBI chairman in March 2025, the regulator set up an internal committee to examine the NSE IPO matter, ET reported.
Settling the regulatory cases may clear the path for NSE to file its Draft Red Herring Prospectus. For a full breakdown of the proposed listing structure and what investors can expect, see NSE IPO 2026: ₹20,000 crore listing – key details and what to expect. You can also track the latest updates on the NSE IPO page on PL Capital.
Outlook
The committee’s recommendation now awaits review by SEBI’s panel of two whole-time members, whose decision will determine whether the settlement proceeds. A senior Supreme Court lawyer told ET that the move “clears the decks for a smoother IPO by restoring regulatory certainty,” though no official IPO timeline has been confirmed by NSE or SEBI.
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