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Ambarish Mukherjee

BSE offers facility at annual fee of Rs 10 cr, NSE Rs 4 cr

New Delhi , Sept. 18

The Delhi Stock Exchange (DSE) is planning to enter into an arrangement with the Bombay Stock Exchange (BSE) that would be making the approximately 2,200 shares listed only on the DSE tradable on the BSE platform as permitted securities.

Since trading has stopped on the DSE in 2003, these stocks have turned illiquid.

Several efforts subsequently by the exchange authorities to revive the exchange have not been successful.

Now, the BSE has offered to provide a trading platform with trading rights to DSE member brokers and making the DSE listed stocks permitted securities on the BSE platform for an annual fee of Rs 10 crore.

This move would help the investors who are stuck in these companies with illiquid assets by offering an exit route through the BSE.

However, noting the potential, the National Stock Exchange (NSE) has suddenly entered the fray and has offered similar trading platform and other facilities to the DSE at a much lower rate of Rs 4 crore annually.

According to a DSE member, "It is a very good situation for us. With the NSE offer, now BSE is bound to reduce prices. And, we are now also planning to go in for both the platforms that would make these scrips tradable on both the national exchanges."

A large number of these companies have also not paid their listing fees to the exchange during the past years.

The DSE plan to make them permitted securities on the BSE platform is expected to encourage these companies to clear their dues to the exchange as that would mean value for money for these companies.

"Otherwise, for a company seeking BSE listing involves a lot of procedural steps and it is also a costly affair. This move has the potential of converting these dead assets into coveted securities," a senior DSE member said.

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2,200 DSE listed cos may get BSE, NSE trading chance

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