NBFC and bond market overhang will have an impact, says BSE's Ashish Chauhan

“Therefore, the board of directors of BSE has taken a decision to buy Rs 460 crore worth shares at Rs 680 per share on a tender basis that is on a one single day on a specific exit price basis. It’s basically around 25 percent of unencumbered cash reserves of BSE which is highest allowed and so the board is saying that if we have more capital we will continue to return to the shareholders by way of buyback of shares and at the same time BSE board has also taken a decision to give a total dividend for the year of Rs 30 per share which is almost 97-98 percent of the total profit for the year; out of which Rs 5 has already been paid so Rs 25 extra dividend will be paid,” he added.

Chauhan added that the board has also taken a decision to appoint honourable retired justice Vikramajit Sen as the chairman of the board.

Sharing his expectations for FY20, Chauhan said, “If there is a stable government then there is going to be much more confidence and people standing on the sidelines may come out with IPO. There are many IPOs currently standing there, wanting to come in but also want some clarity on policies and the government.”

“There are two issues which are going to have some short-term to long-term impact; how we clean up the NBFC related issues and the bond overhang on the market in mutual fund and other places. The second issue is the US-China trade dispute which will have some short-term negative repercussions on most emerging markets. Long-term, India would be a winner in any such things flaring up,” Chauhan added.