NSDL Targets July IPO, Aiming to Raise $400 Million Through Offer-for-Sale
By HDFC SKY | Published at: Jun 12, 2025 08:04 PM IST
Mumbai, June 12 – National Securities Depository Ltd. (NSDL) is getting ready for a big debut in the country’s capital markets in July 2025. NSDL is the first company in India to offer securities depository services. The company wants to raise about $400 million through a big public issue that will be set up wholly as an Offer-for-Sale (OFS). This milestone is a big step forward for NSDL’s expansion, giving investors a chance to get involved with one of India’s most important financial systems.
IPO Structure: No Fresh Issue, Full OFS Route
Six current stockholders would sell up to 5.01 crore equity shares during the IPO. The corporation won’t get any money from the issue. SEBI has already given the offering the green light, and it is currently in the last stage before it goes public.
Breakdown of Shareholders Participating in the OFS:
| Shareholder | No. of Shares Offered |
|---|---|
| IDBI Bank Limited | 2.22 crore |
| National Stock Exchange of India Limited | 1.80 crore |
| State Bank of India | 40 lakh |
| Union Bank of India | 5 lakh |
| HDFC Bank Limited | 20.1 lakh |
| Administrator of the Specified Undertaking of UTI | 34.15 lakh |
| Total | 5.01 crore |
The offer includes a potential employee reservation component, with possible discounts for eligible participants.
Listing Plan and Lead Managers
A group of top-tier investment banks is in charge of the IPO. These banks are ICICI Securities, Axis Capital, HSBC, IDBI Capital, Motilal Oswal, SBI Capital Markets, and HDFC Bank (which will be participating in marketing because of rules).
The issue is set to start in July, and the specific dates and price range will be disclosed soon.
NSDL at a Glance: Financial & Market Position
As India’s oldest and largest securities depositories NSDL has a considerable market share in issuer and custodian services. It still has some of the most valuable assets in the country.
Financial Snapshot:
| Period | Revenue from Operations | Net Profit (PAT) |
|---|---|---|
| FY24 | ₹1,268.24 crore | ₹248.12 crore |
| FY23 | ₹1,021.93 crore | ₹234.81 crore |
| 9M FY25 (Dec 2024) | ₹1,056.54 crore | ₹266.78 crore |
Depository services formed 37.3% of the total FY24 revenue, reflecting a YoY increase of over 15%, while transaction-based fees contributed 24.3%.
Competitive Landscape
NSDL faces stiff competition from Central Depository Services (India) Ltd. (CDSL). However, it outpaces its rival on several fronts such as the number of issuers and service centers:
| Metric (as of Dec 2024) | NSDL | CDSL |
|---|---|---|
| Demat Accounts | 38.77 million | 146.54 million |
| Issuers | 64,535 | 31,557 |
| Service Centres | 63,542 | 17,883 |
| DPs Registered | 289 | 576 |
Despite CDSL’s larger individual investor base, NSDL’s strength lies in institutional coverage, technology infrastructure, and regulatory compliance frameworks.
Strategic Relevance and Investor Interest
The IPO is likely to get a lot of attention from both institutional and retail investors because NSDL plays such an important role in India’s financial economy. It doesn’t have a promoter entity; instead, it is run by a professional board, which makes it more appealing to long-term institutional investors.
The IPO is a big step toward making the capital market infrastructure more open and allowing more people to take part, as required by SEBI rules for systemically important market infrastructure institutions.
About NSDL
Founded in 1996, National Securities Depository Limited is a SEBI-regulated depository headquartered in Mumbai. It provides a wide range of services including dematerialization, clearing, e-voting, KYC solutions, and operates two subsidiaries: NSDL Database Management Ltd. (NDML) and NSDL Payments Bank. The company is poised to become a publicly listed entity upon completion of its July IPO.
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