MCX shares plunge nearly 9 pc intra-day after Sebi asks to delay CDP launch

MCX shares plunge nearly 9 pc intra-day after Sebi asks to delay CDP launch

Shares of Multi Commodity Exchange of India (MCX) plunged nearly 9 per cent in intra-day trade on Friday after the exchange said market regulator Sebi has asked it to delay the launch of the Commodity Derivatives Platform (CDP).

The stock plunged 8.84 per cent to Rs 1,914.60 during the day on the BSE. Later, it recovered some of the early lost ground and ended at Rs 2,049.30, 2.43 per cent lower.

The regulator advised MCX to keep the proposed go-live of CDP in abeyance since the matter involves technical issues and would be discussed in the Securities and Exchange Board of India (Sebi) Technical Advisory Committee meeting to be held shortly, the exchange said in a regulatory filing earlier in the day.

As the exchange is ready and keen to go live as soon as permitted, it will continue to conduct CDP mock tests pending further directions in the matter from Sebi, it added.

Meanwhile, the regulator has also asked MCX and MCXCCL to furnish detailed comments on the issues raised by Chennai Financial Markets and Accountability on CDP by October 3.

Earlier in the week, MCX had said its commodity derivatives platform would go live on October 3.