The National Stock Exchange’s planned initial public offering is set to unlock the value of long-term investments for a group of backers including Morgan Stanley, Temasek Holdings Pte. and State Bank of India.
Among the biggest beneficiaries is SBI, which is selling 24.75 million shares. It stands to gain about 50 billion rupees ($529 million), based on the grey market price of 2,055 rupees a share on unlisted stock trading platform sharescart.com and its average acquisition cost of 80 paise apiece. That’s an almost 2,568-fold gain for the stake SBI acquired between 1993 and 1999 and does not include the increase in the value of its remaining holding.
