National Securities Depository Limited (NSDL) is all set to make a strong entry into the Indian stock market with its highly anticipated Initial Public Offering (IPO). With a Book Built Issue worth ₹4011.60 Crores comprising an Offer for Sale (OFS) of 5.01 crore shares, NSDL has attracted significant attention from retail and institutional investors alike. Let’s dive deep into the IPO details, subscription status, allotment, Grey Market Premium (GMP), and overall company performance to understand whether this IPO is worth considering.

About NSDL

NSDL, or National Securities Depository Limited, was established in August 1996, following the enactment of the Depositories Act, which allowed electronic settlement of trades. This marked a major transformation in India’s capital markets, reducing issues like bad delivery, fake certificates, and delayed share transfers that plagued the paper-based settlement system.

Over the years, NSDL has emerged as one of the largest depositories in the world, managing the dematerialized holdings and settlements of a major chunk of India's securities. The organization has built a state-of-the-art digital infrastructure, serving key participants in India’s financial ecosystem.

NSDL IPO Details

• IPO Type: Book Built Issue

• Issue Size: ₹4,011.60 Crores (Offer for Sale only)

• Price Band: ₹760 to ₹800 per share

• Lot Size: 18 shares

• Retail Investment: Minimum ₹14,400 (1 lot)

• HNI Investment: Minimum ₹2,01,600 (14 lots)

• Market Cap at ₹800: ₹16,000 Crores

• IPO Open Date: July 30, 2025

• IPO Close Date: August 01, 2025

• Allotment Date: August 04, 2025

• Listing Date: Tentative - August 06, 2025

• Exchanges: BSE & NSE

• Registrar: MUFG Intime India Private Limited

• BRLMs: ICICI Securities, Axis Capital, HSBC Securities, IDBI Capital, Motilal Oswal, SBI Capital

Grey Market Premium (GMP) and Expected Listing Gains

As of 27 July 2025, NSDL’s GMP stood at ₹144, which reflects an expected listing price of ₹944 per share, up 17.98% over the issue price of ₹800.

⚠️ Note: GMP is unofficial and not regulated. It's driven by unorganized demand-supply trends and should not be used as the sole basis for investment.

Anchor Investors Allocation

Before the IPO opened to the public, NSDL raised ₹1,201.43 Crores from Anchor Investors by allotting 1.50 crore shares at ₹800 apiece. This demonstrates strong institutional confidence in the company’s business model and growth prospects.

Anchor investors are typically QIBs (Qualified Institutional Buyers) and are allotted shares a day before the public subscription opens.

IPO Subscription Status (As on August 01, 12:00 PM)

By mid-day on its final day, the NSDL IPO was subscribed 3.36 times, indicating healthy investor interest across all categories. The final tally is expected to be even higher as investors rush to apply before the deadline.

NSDL Financial Performance

NSDL has reported consistent growth in revenue and profit over the last three financial years:

This demonstrates stable and rising operational performance, backed by solid margins.

Key Financial Ratios & Metrics

• EPS (FY24): ₹17.16

• P/E Ratio (Post-Issue): 46.63x

• Industry P/E: 68x

• ROCE (FY24): 22.70%

• ROE (FY24): 18.60%

• RoNW: 17.11%

These numbers indicate that NSDL is financially strong and the IPO is fairly valued, especially when compared with its peers.

Allotment Status: How to Check

The NSDL IPO allotment is expected to be finalized on Monday, August 04, 2025. Here's how investors can check the status:

1. Go to the registrar website (MUFG Intime India Pvt Ltd)

2. Choose ‘NSDL IPO’ from the dropdown

3. Enter either:

   • PAN number

   • Application number

   • DP Client ID

4. Submit to view your allotment status

Use of IPO Proceeds

Since the entire IPO is Offer for Sale, NSDL will not receive any proceeds. All money raised will go to existing shareholders, reducing their stake in the company. This includes financial institutions and private investors looking to partially exit.

Promoter and Management Structure

NSDL is a professionally managed company with no identifiable promoter, which is relatively uncommon in the Indian IPO landscape. It is governed by a board of directors and independent professionals, with oversight from financial institutions like IDBI Bank, NSE, and State Bank of India.

Risks and Considerations

• Offer for Sale (OFS): No funds go to the company

• High P/E ratio compared to earnings

• GMP may not reflect true listing price

• No identifiable promoter may concern some traditional investors

However, the company’s market dominance, robust infrastructure, and strong financials offer some degree of cushion.

Final Recommendation

Given the steady financial performance, market leadership, and strong institutional support, the NSDL IPO seems like a safe bet for listing gains. The GMP at ₹144 and subscription trends reinforce the potential upside.

Disclaimer
This article is for educational and informational purposes only and does not constitute financial advice. Investment decisions should be based on individual risk tolerance and consultation with SEBI-registered advisors. Market conditions are volatile and subject to change. Neither the author nor the platform is responsible for losses arising from use of this information.

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