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The National Stock Exchange of India (NSE) has enabled India's first tokenised corporate bond issuances on its Electronic Bidding Platform (NSE EBP), with REC Limited and Larsen & Toubro raising a combined Rs 1,000 crore under the Securities and Exchange Board of India's (SEBI) Regulatory Sandbox Framework.
REC raised Rs 500 crore through the first tokenised corporate bond issuance on NSE EBP on September 7, followed by a Rs 500 crore issuance by Larsen & Toubro on September 9, NSE said in a release. The technology was formally unveiled on September 10 at the Global Fintech Fest 2026 in Mumbai by Reserve Bank of India Governor Sanjay Malhotra and SEBI Chairman Tuhin Kanta Pandey. REC's issuance had a base size of Rs 100 crore and a green shoe option of Rs 400 crore. It received overall subscription of 7.9 times the base issue, with REC accepting Rs 500 crore at a 7.30 per cent coupon rate. The participation included banks, financial institutions, mutual funds and depositories. The subsequent L&T issuance demonstrated the use of the technology by a private-sector issuer, NSE said. Tokenisation enables securities to be represented and managed digitally using Distributed Ledger Technology (DLT). NSE said the technology is designed to facilitate atomic settlement, improve transparency and enhance operational efficiency across the securities lifecycle while using India's existing digital settlement infrastructure. The exchange said the two issuances mark a step towards broader adoption of tokenisation in the corporate bond market. NSE is committed to be at the forefront of technology-led innovation in Indias capital markets, said Viral Mody, Executive Director Vertical 1 (Critical Operations), NSE. Mody said the successful implementation of tokenisation for corporate bonds demonstrated NSE's ability to translate emerging technologies into scalable solutions for regulated market infrastructure. He further added that NSE remains committed to advancing technology-led market infrastructure that is trusted, resilient, transparent and responsive to the evolving needs of issuers, investors and other market participants. The exchange said the initiative was enabled under the SEBI Regulatory Sandbox Framework, with guidance and support from SEBI and RBI. (ANI)
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