Pune Stock Exchange

Pune Stock Exchange (PSE) was a regional stock exchange located in Pune, Maharashtra, India. It was established in 1982 and was recognised under the Securities Contracts (Regulation) Act, 1956.[1][2]

History

The Pune Stock Exchange was formally recognized by the Ministry of Finance in 1982. It was set up to cater to the capital market requirements of western Maharashtra, particularly for small and medium enterprises (SMEs) in Pune and nearby districts seeking access to equity markets.[1][2]

Governance and reforms

In April 2003, the Securities and Exchange Board of India (SEBI) superseded the Board of Directors of the Pune Stock Exchange due to governance-related lapses. An administrator was appointed to manage its affairs.[3] In August 2005, SEBI approved the corporatisation and demutualisation scheme for PSE. The exchange was required to convert into a company limited by shares and to separate ownership from trading rights.[4]

Membership and coverage

By mid-2000s, the PSE had grown to around 185 trading members and listed over 300 companies. These included firms from Pune, Satara, Sangli, Solapur, Kolhapur, Ahmednagar, Aurangabad, Nashik, and Mumbai.[2]

Operations

The exchange initially operated on a traditional open outcry system and later transitioned to an electronic trading platform. Despite these changes, PSE found it difficult to compete with national-level exchanges such as the NSE and the BSE.[5]

Derecognition and exit

In line with SEBI regulations requiring stock exchanges to maintain a minimum net worth and achieve certain trading volumes, PSE applied for a voluntary exit. SEBI approved the application on 13 April 2015, officially derecognising the exchange and directing it to refrain from using the term "stock exchange" in its name.[6]

Legacy

PSE contributed to the development of regional capital markets in Maharashtra. Its exit was part of SEBI’s broader effort to consolidate regional exchanges and improve the efficiency and transparency of capital markets in India.[5][6]

See also

References

  1. ^ a b "Central government grants recognition to Pune Stock Exchange". The Economic Times. 14 April 2015. Retrieved 17 June 2025.
  2. ^ a b c "Pune Stock Exchange". Maps of India. Retrieved 17 June 2025.
  3. ^ "Supersession of the Board of Directors of Pune Stock Exchange Ltd (PSE)". SEBI. 7 April 2003. Retrieved 17 June 2025.
  4. ^ "Order in the matter of The Pune Stock Exchange Limited". SEBI. 29 August 2005. Retrieved 17 June 2025.
  5. ^ a b "List of Stock Exchanges in India". MoneyMint. 27 April 2024. Retrieved 17 June 2025.
  6. ^ a b "Sebi allows Pune Stock Exchange to exit bourse business". The Economic Times. 21 September 2014. Retrieved 17 June 2025.
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