MCX share price surges a whopping 10% on NSE merger buzz
MCX share price surges a whopping 10% on NSE merger buzz
Multi Commodity Exchange (MCX) share price rallied over 10 per cent on Friday following reports that the National Stock Exchange (NSE) and comex are in talks to merge ahead of the implementation of an universal exchange framework in October, the Business Standard newspaper reported on Friday.
Reacting to the news, the stock gained as much as 10.15 per cent to Rs 792.70 on the BSE. Meanwhile, BSE sought clarification from the MCX on the related news. In its reply, MCX didn’t confirm the merger talks with NSE.
“As a part of corporate strategy, the company continuously evaluates various opportunities for enhancing shareholders’ value. If and when any proposal is required to be considered by the board of directors of the company warranting disclosures, the same shall be informed to the exchange,” said MCX in a filing to BSE.
“As of now, there is no information/event which requires disclosures,” it added.
NSE and MCX, the country's top stock and commodities exchanges, respectively, plan to approach the markets regulator Securities and Exchange Board of India (SEBI) as early as this month, the BS report said, citing an unnamed official.
NSE approached MCX for a merger after SEBI allowed exchanges offer trading platform for both equities and commodities derivatives, the newspaper said.
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MCX, India’s first listed exchange, is a state-of-the-art, commodity derivatives exchange that facilitates online trading, and clearing and settlement of commodity derivatives transactions, thereby providing a platform for risk management.
The Exchange, which started operations in November 2003, operates under the regulatory framework of Securities and Exchange Board of India (SEBI).
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