NSE CEO Ashish Chauhan Clarifies No Application Filed With SEBI to Trade Own Shares — September 11, 2026

Ahead of its much-anticipated public debut, the National Stock Exchange (NSE) has clarified that it has not submitted any application to the Securities and Exchange Board of India (SEBI) seeking permission to trade its own shares on its platform.

The clarification from NSE Managing Director and Chief Executive Officer Ashishkumar Chauhan puts to rest widespread market speculation suggesting that the exchange was exploring the "Permitted to Trade" (PTT) framework to allow secondary market transactions of its equity on its own system while being formally listed on the Bombay Stock Exchange (BSE).

Regulatory Framework Prohibits Self-Listing

Indian securities laws explicitly disallow market infrastructure institutions (MIIs) from self-listing. Under existing SEBI guidelines, a stock exchange acts as a front-line regulator for listed entities, monitoring corporate governance, price surveillance, and disclosure compliance. Permitting an exchange to list or regulate itself would pose an inherent conflict of interest.

Chauhan stressed that the exchange's supervisory responsibilities take absolute precedence over commercial considerations. "It's a regulation of India, and we have to abide by that," he noted, reiterating that the bourse cannot act as both the referee and the listed entity on the same platform.

While certain international exchange groups, such as the Intercontinental Exchange (ICE)—the parent company of the New York Stock Exchange—are permitted to trade on their own systems, domestic rules established by SEBI do not grant such exemptions.

Speculation Over the 'Permitted to Trade' Mechanism

Market participants had recently debated whether NSE could leverage the PTT route. Under this provision, an exchange can admit securities that are primarily listed on another recognised bourse without requiring a separate listing agreement or standalone compliance filings.

The speculation had briefly drawn attention across the market:

• BSE Managing Director and CEO Sundararaman Ramamurthy had previously noted that BSE was denied permission for self-trading when it went public in 2017.
• BSE shares reacted positively to expectations that secondary trading volumes in NSE shares would be concentrated on BSE rather than split across both bourses.
• Clarifications from the NSE leadership have now formally removed the prospect of an immediate self-trading application.

Structure of the Upcoming IPO

The NSE has been working toward an initial public offering after SEBI granted a no-objection certificate, clearing a hurdle that had stalled the listing process for nearly a decade following the co-location probe.

Key Highlights of the Proposed Listing:

• The IPO will be structured purely as an Offer for Sale (OFS), with no fresh issue of shares, meaning the exchange is not raising new capital for its operations.
• Existing investors—spanning domestic financial institutions, global private equity firms, and around 195,000 public and retail shareholders—will have an opportunity to divest parts of their holdings.
• The exchange is finalizing its Draft Red Herring Prospectus (DRHP) for regulatory submission and review.

Chauhan declined to speculate on valuation metrics, stating that pricing decisions will be determined closer to the launch date in consultation with appointed merchant bankers, based on prevailing market conditions, financial performance, and peer comparisons.

Tags: National Stock Exchange BSE SEBI Initial Public Offering Capital Markets