NSE IPO: GMP slips to single digit ahead of anchor book; ₹6,250 crore anchor allocation in focus
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Ahead of the opening of its ₹22,561.57 crore initial public offering (IPO) on Thursday, the grey market premium (GMP) for the National Stock Exchange (NSE) issue has declined, according to platforms tracking unofficial market activity.
Investorgain puts the current GMP at ₹160, implying a potential listing gain of 8.96% over the upper end of the IPO price band of ₹1,700-1,785 per share. IPO Watch, meanwhile, puts the premium at 11.65% over the issue price.
The latest GMP levels mark a significant moderation from the ₹285 premium recorded on September 4, when the exchange received Sebi approval to proceed with its much-awaited public issue. The grey market premium has also eased from levels above ₹200 seen through much of the period following the announcement of the NSE IPO price band.
Despite the recent decline, the premium remains positive, with the IPO garnering close investor attention given NSE’s dominant position in India’s equity and derivatives markets and the long-awaited listing of its shares.
Anchor book to test institutional appetite
The ₹6,250 crore anchor book for the NSE IPO is expected to see strong interest from domestic and foreign institutional investors. The allocation will take place today, ahead of the IPO opening, with final details expected to be released later in the evening.
NSE Managing Director and CEO Ashishkumar Chauhan said institutional interest in the anchor book has been “unexpectedly large”, with significant participation expected from foreign portfolio investors (FPIs) and domestic mutual funds.
“You will see the numbers tomorrow. It’s pretty nice,” he said at a press meet in Delhi on September 15, adding that the banker book was “pretty large” and significantly bigger than what the exchange had anticipated.
Chauhan said the anchor allocation, initially estimated at around ₹9,000 crore, was reduced to about ₹6,250 crore, partly because of the allocation framework applicable to different categories of institutional investors. He said the reduction did not reflect weaker demand, with overall interest substantially exceeding the shares available under the anchor allocation.
“The demand is much larger,” Chauhan said, noting that mutual funds, pension funds, other domestic institutions and FPIs are subject to separate allocation requirements.
The NSE IPO is entirely an offer for sale (OFS) by existing shareholders, with no fresh equity being issued by the exchange. A total of 12.64 crore shares will be sold by 10 shareholders, including State Bank of India (SBI), Bank of Baroda, MS Strategic (Mauritius), General Insurance Corporation of India, Canada Pension Plan Investment Board and Aranda Investments (Mauritius).
The number of shares on offer is around 15% lower than the 14.89 crore shares proposed in NSE’s draft red herring prospectus (DRHP) filed in June 2026. The exchange has also reserved shares worth up to ₹70 crore for eligible employees, who will get a ₹170-per-share discount to the final IPO price.
SBI has reduced its proposed OFS to 1.597 crore shares from 2.475 crore shares in the DRHP. MS Strategic (Mauritius) will now sell 1.10 crore shares, compared with 1.60 crore shares proposed earlier.
Bank of Baroda has cut its proposed sale to 0.769 crore shares from 1.099 crore shares, while Stock Holding Corporation of India will sell 0.619 crore shares, down from 1.089 crore shares.
General Insurance Corporation of India has reduced its OFS to 0.619 crore shares from 1.066 crore shares. National Insurance Company will sell 0.40 crore shares, compared with 0.60 crore shares proposed earlier, while Mahagony Limited has cut its proposed sale to 0.30 crore shares from 0.50 crore shares. Indian Bank has also lowered its proposed OFS to 0.15 crore shares from 0.248 crore shares.
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