BSE up 18% on colo case decision; time reduced for trading bonus shares
Mumbai: A man passes by a BSE (Bombay Stock Exchange) logo inside the Bombay Stock Exchange building, in Mumbai, Monday, Aug. 12, 2024. (Photo: PTI)
Shares of the BSE skyrocketed by 18 per cent to Rs 3,420 per share on Monday, while the Multi Commodity Exchange (MCX) saw a 5 per cent surge. Market players attributed the sharp rise to the Securities and Exchange Board of India’s (Sebi’s) decision to drop charges against the National Stock Exchange (NSE) and its former executives in the colocation case. Analysts believe this development may pave the way for NSE’s initial public offering (IPO), which could have a ripple effect on other listed market intermediaries.
Interestingly, NSE’s unlisted share price has increased by almost three times in the past three years, with its current price ranging from Rs 6,000 to Rs 6,200 per share.
Sebi reduces time for trading bonus shares to two days
The Securities and Exchange Board of India (Sebi) on Monday reduced the time taken for credit and trading of bonus shares. The allotted bonus shares will be made available for trading on a T+2 basis (trade plus two working days), wherein the record date will be considered the trading day. The market regulator has directed issuers proposing the bonus issue to apply for in-principle approval to the stock exchanges within five working days from the date of board approval. The reduction in timeline comes amid a series of steps taken by the market regulator to reduce the trading timelines. Earlier, the market regulator reduced the timelines in the primary market, from T+6 to T+3. Sebi is also testing T+0 or same-day settlement in the secondary market.
First Published: Sep 16 2024 | 8:29 PM IST
