The Metropolitan Stock Exchange of India (MSE) plans to secure Rs 238 crore from four investors, including Billionbrains Garage Ventures—the parent company of Groww—and Zerodha’s Rainmatter Investments, in an effort to stabilise its operations. Other contributors to this investment round include Share India Securities, which is listed on the BSE, and Securocorp Securities India.
The board of the exchange sanctioned the issuance of 1.19 billion equity shares at Rs 2 each, which includes a face value of Rs 1 and a premium of Rs 1, to these four investors through a private placement, as disclosed on MSE’s website. This proposed allotment will require approval from shareholders during the upcoming extraordinary general meeting (EGM).
Among the investors, Share India Securities has pledged Rs 59.5 crore for a 4.958% stake in MSE. In its regulatory submission, Share India Securities affirmed that this move is a “strategic decision,” aimed at enhancing its position in the financial services and securities market ecosystem. As part of this investment, Share India Securities will acquire 29.75 crore equity shares at Rs 2 each.
Sachin Gupta, CEO and Whole-time Director of Share India Securities, stated, “We are thrilled to announce our strategic investment of approximately Rs 60 crore in the MSE, marking a significant milestone in our mission to support and shape the future of Indian financial markets.”
The MSE has faced difficulties in maintaining its competitive stance against larger exchanges such as NSE and BSE and is now implementing strategies to revitalise its operations. Established in 2008, the exchange initially found its footing in the currency derivatives segment but has encountered obstacles in expanding its capital market, futures and options, and debt market divisions.
Despite these challenges, MSE remains hopeful about its future, believing that this new influx of funds will provide a crucial lifeline. The exchange reported a turnover of Rs 7.36 crore for FY24, a decline from Rs 9.21 crore in FY23.
