The Indian Commodity Exchange Ltd (ICEX) on Thursday said it has achieved the prescribed capital adequacy norms following a successful rights issue.
In a statement, the company said ICEX now meets all the norms prescribed by the markets regulator Securities and Exchange Board of India (SEBI), including the Rs 100 crore net worth criteria, to start trading.
ICEX, a screen-based online derivatives exchange for commodities, has already received in-principle approval from SEBI for commencement of business and trade operations for diamond, crude and Brent oil contracts.
ICEX will be the first exchange in the world to launch diamond futures contracts, and plans to initially launch three diamond contracts -- 30 cents, 50 cents, and 1 carat.
The exchange has in place all necessary infrastructure to handle deliveries of diamonds and facilitate settlement of trades.
"With the successful completion of Rights, the exchange is now all geared for launch. The response for the on-going Mock trading has been very encouraging, particularly from the Diamond physical market participants," Sanjit Prasad, MD and CEO was quoted as saying in the statement.
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ICEX expects to go live and commence trading operations by the end of March 2017, subject to final approval from SEBI.
Reliance Capital Ltd, a part of Anil Ambani led Reliance Group, is the largest investor in ICEX, along with a wider and diverse set of institutional, corporate and high net worth shareholders.
--IANS
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