State Bank of India to sell 2% equity stake in NSDL IPO via OFS

State Bank of India (SBI) said in a regulatory filing on Monday that it will sell 2% in the initial public offering (IPO) of National Securities Depositories Limited (NSDL) by way of an offer for sale (OFS) held by the Bank in NSDL (being up to 40,00,000 equity shares).

SBI holds a 5% stake in the NSDL while it intends to divest 2% in the OFS subject to the terms of the proposed IPO, the bank said in the filing.

SBI said in a regulatory filing that it intends to participate in an IPO of NSDL.

Further, the OFS of equity shares comprises up to 22,220,000 equity shares by IDBI Bank Limited; up to 18,000,001 equity shares by National Stock Exchange of India Limited; up to 5,625,000 equity shares by Union Bank of India; up to 4,000,000 equity shares by HDFC Bank Limited (SS); and up to 3,415,000 equity shares by Administrator of the Specified Undertaking of the Unit Trust of India (SUUTI).

Cash consideration is subject to the terms of the proposed IPO and such flexibility on pricing, timing and other IPO considerations, as may be permitted under applicable law.

NSDL is a depository set up to carry on, regulate and manage the business of providing depository and clearing and settlement services in respect of securities and instruments of all kinds. NSDL has three operating segments: depository, database management services and banking services.

Meanwhile, HDFC Bank will sell a 2% stake in the initial public offering (IPO) of NSDL, the bank informed exchanges on Sunday.

Source: Media reports