Soach Global Opportunities Fund Achieves Impressive Returns on NSE Investment

Soach Global Opportunities Fund, based in Mauritius, is poised to achieve nearly 25 times returns on its long-standing investment in the National Stock Exchange (NSE) via a partial exit during the exchange’s initial public offering (IPO). The fund plans to sell 20% of its shareholding through an offer for sale (OFS), while maintaining the remaining 80% as a long-term asset.

Details of the Partial Exit

As outlined in the company’s press release, Soach Global Strategic Holdings Limited, its wholly owned subsidiary, will sell 16.5 lakh equity shares within NSE’s IPO price range of Rs 1,700 to Rs 1,785 per share. This transaction is expected to garner around Rs 280 crore to Rs 295 crore.

Growth of Investment Over Time

Soach Global acquired 1.5 lakh shares of NSE from the Industrial Finance Corporation of India (IFCI) in January 2016 for Rs 59.25 crore at a rate of Rs 3,950 per share. Over the last decade, the holding has grown to 82.5 lakh shares thanks to corporate actions, without any additional financial outlay. The adjusted acquisition cost is currently at Rs 71.8 per share.

At the higher end of the IPO price band, this partial exit will yield nearly five times the original investment. After the sale, Soach Global will still hold 66 lakh shares of NSE, with an estimated value of Rs 1,120 crore to Rs 1,180 crore.

About Soach Global Corporation Limited

Hong Kong-based Soach Global Corporation Limited is involved in fund management and advisory services, directing its focus towards trade, commerce, and long-term investments both in India and worldwide. The Mauritius-based investment subsidiary manages the group’s stake in the NSE.

Vision for Future Investment

Anubhav Dayal, the founder and director of Soach Global Opportunities Fund, indicated that the partial exit aims to promote broader retail participation in NSE’s expansion. Dayal mentioned that the fund sees its remaining holdings as a long-term investment and does not plan to reinvest after the sale.

NSE IPO Subscription Status

The NSE IPO, which commenced on September 17, is set to conclude its subscription today. As of 11:50 AM on the final day, the issue had been oversubscribed by 1.76 times. In advance of the IPO, the exchange successfully raised Rs 6,746 crore from 189 anchor investors, including notable entities like LIC, Norway’s Government Pension Fund Global, ADIA, GIC, Fidelity, and Societe Generale.