BSE wants Sebi to raise ceiling on depository holding

Sebi decides to review rules for depositories

BSE wants regulator Securities and Exchange Board of India (Sebi) to increase investment ceiling for stock exchanges in depositories. The move comes less than a month ahead of the deadline for the exchange to divest its holding in Central Depository Services Ltd (CDSL) from 50 per cent at present to 24 per cent, the maximum permissible limit.

BSE was in the process of selling its 26 per cent stake in CDSL's initial public offering (IPO) of shares, for which it has obtained Sebi approval. Meanwhile, rules for market infrastructure institutions (MIIs) such as stock exchanges, clearing corporations, and depositories have come