MSE Secures Rs 238 Crore to Revitalize Market Position

The Metropolitan Stock Exchange of India (MSE) plans to raise Rs 238 crore from investors including Billionbrains Garage Ventures and Zerodha's Rainmatter. The funds aim to stabilize MSE's market position amidst competition from larger exchanges like NSE and BSE. Share India Securities commits a significant investment for strategic market growth.

The Metropolitan Stock Exchange of India (MSE) is poised to raise Rs 238 crore through investments from entities such as Billionbrains Garage Ventures and Rainmatter Investments, associated with Zerodha. This strategic financial move is intended to provide essential support to the exchange as it navigates challenges in an arena largely dominated by competitors like NSE and BSE.

The board has approved the issuance of 1.19 billion equity shares priced at Rs 2 per share, including both the face value and premium, contingent upon shareholder approval at the forthcoming extraordinary general meeting. Notably, BSE-listed Share India Securities has invested Rs 59.5 crore to acquire a 4.958% stake in MSE, marking a significant step in its strategic expansion within the financial services sector.

Despite facing declines in turnover, falling from Rs 9.21 crore in FY23 to Rs 7.36 crore in FY24, MSE remains optimistic. Since its foundation in 2008, MSE initially made headway in currency derivatives but has struggled to cement its standing in the broader financial market sectors. The new capital infusion is anticipated to rejuvenate MSE's operational potential significantly.

(With inputs from agencies.)