NSDL, a market infrastructure institution (MII), announced a final dividend of Rs 2 per equity share (face value Rs 2) on May 23, 2025. The total dividend payout amounts to Rs 40 crore and is subject to shareholder approval at the upcoming annual general meeting.
The company had earlier declared a 50% dividend on equity shares for FY23 and FY24, amounting to Re 1 each year.
On October 6, 2023, market regulator SEBI directed NSDL to freeze voting rights and all corporate actions related to excess shareholding above 15% held by the National Stock Exchange of India Limited and IDBI Bank Limited, effective from October 3, 2023, until such excess shareholding is divested.
Dividends attributable to NSE and IDBI Bank exceeding their 15% shareholding have not been disbursed since October 3, 2023. Instead, the amount has been deposited in a separate escrow account.
NSDL’s dividend policy
According to the RHP, NSDL’s declaration and payment of dividends will be recommended by the Board of Directors and approved by shareholders at their discretion.”We may retain all future earnings, if any, to meet contingencies or for use in operations and business expansion. As a result, we may not declare dividends in the foreseeable future. Any future determination regarding dividends will be at the discretion of our Board and will depend on factors such as our earnings, financial condition, cash requirements, business prospects, and financing arrangements,” the RHP stated.”We cannot assure you that we will be able to pay dividends in the future. Therefore, any gain for shareholders will depend on the appreciation of our equity share price, which cannot be assured,” it added.
On currency fluctuations affecting foreign shareholders, NSDL said dividends will be paid in Indian Rupees and converted to the relevant foreign currency for repatriation, if required. Adverse currency movements during the conversion process may reduce the net dividend received by foreign investors.
NSDL shares are set to be listed on Wednesday. In the grey market, the stock was commanding a premium of Rs 124 per share — a 16% gain over the issue price of Rs 800.
The IPO witnessed strong demand, with an overall subscription of 41.02 times.
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