Reliance Money gets nod to acquire 10 pc stake in NMCE

Financial services firm Reliance Money has obtained approval from Ministry of Consumer Affairs to acquire a 10 per cent stake in the National Multi-Commodity Exchange of India (NMCE) Board.Reliance Money had proposed to acquire a total of up to 26 per cent stake in NMCE in two phases. NMCE had accordingly applied for necessary approvals from the regulator Forward Markets Commission (FMC), which in turn, recommended the acquisition to the Ministry of Consumer Affairs.

The Anil Ambani-led Reliance ADAG is the first large business group to get into the commodity exchange space in India.

Sensex hits all-time high at 14,727

Equities opened the week higher, with the Sensex making an all-time high of 14727. Capital goods, metal and banking stocks led the rally. Mid-cap and small-cap stocks also were firm. Autos and FMCG shares, however, were weak.

At 10:15 am, Bombay Stock Exchange’s Sensex was at 14,717, up 67 points or 0.46% from Friday’s close. National Stock Exchange’s Nifty was up 9 points or 0.2% at 4327.

Top Sensex gainers were Cipla, BHEL, Tata Steel, Larsen and Toubro and ONGC.

Hero Honda, ACC, HDFC Bank, HDFC and Wipro were the laggards in the 30-share Sensex.

Market breadth was strong as 1105 shares advanced while 342 declined on the BSE. On the NSE, 648 shares advanced and 269 declined.

FMC may decide on BSE stake in NMCE by next week

Forward Markets Commission is likely to take a decision soon on the proposal of Bombay Stock Exchange to buy 26% stake in Ahmedabad-based National Multi Commodity Exchange (NMCE).

The commodity market regulator had in December asked all agri-bourses to maintain status quo in their shareholding pattern till guidelines were issued. The decision came after foreign firms Goldman Sachs and Fidelity bought stakes in Indian agri exchanges MCX and NCDEX.An NMCE official said the discussions on BSE’s offer to buy a stake were going on for the last several months.

If BSE is allowed to buy 26%, it would be highest by a stock exchange in any commodity exchange.The National Stock Exchange has 15% stake at leading agri commodity bourse NCDEX.

Read more in The Livemint article.