Investors rush into India’s National Stock Exchange IPO at valuation multiple above Nasdaq — SkimNews
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- NSE's $2.3 billion IPO drew bids for 505.81 million shares on Monday, 5.7 times the 88.64 million shares on offer, according to the article.
- Anchor investors including the Monetary Authority of Singapore, Abu Dhabi Investment Authority, and India's Life Insurance Corporation committed 67.5 billion rupees ($704 million) ahead of the offering.
- NSE's price-to-earnings ratio of 42.9x at the upper end of the IPO price band compares to 23.6x for Nasdaq and 21.9x for Intercontinental Exchange, per LSEG data.
- NSE commands a 93% share of India's cash market, nearly 100% of equity futures trading, and 75% of equity options trading, per the IPO filing.
- Indian household equity and mutual fund allocations climbed to 15.2% of annual financial savings in the fiscal year ending March 2025, up from 2% in the fiscal year ending March 2012.
- The NSE listing is India's biggest IPO of 2025 and its second-largest ever, trailing only Hyundai Motor India's $3.3 billion share offer in 2024.
- Bombay Stock Exchange MD Sundararaman Ramamurthy noted 35 million Indian investors registered with his platform in 2025, saying local participation has shielded Indian markets from foreign investor exits.
Why it matters: NSE's 42.9x P/E marks an almost 80% premium to Nasdaq's 23.6x, pricing India's dominant exchange as a bet that the 13-year surge in household equity allocations — from 2% to 15.2% of financial savings — still has runway. With NSE controlling 93% of cash market volume, retail-driven flows now outweigh foreign capital exits in determining Indian market resilience.
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