BOMBAY STOCK EXCHANGE LIMITED
ANNUAL REPORT 2006-2007
CHAIRMAN'S REPORT
Dear Shareholders,
The year April 2006 - March 2007 has been a landmark year for the Bombay
Stock Exchange Limited. Under the BSE (Corporatisation and Demutualisation)
Scheme, 2005 notified by Securities and Exchange Board of India (SEBI) on
May 20, 2005, the Exchange completed the demutualisation exerercise in the
month of May 2007, bringing about separation of ownership and management.
This was a watershed event in the long history of the Exchange.
I wish to personally congratulate all stakeholders on this transformation,
which is in line with what various stock exchanges have done
internationally.
I am happy to report that there was overwhelming interest shown by overseas
investors as also by domestic investors in acquiring a stake in the
Exchange. The robust valuation that the Exchange received is an expression
of confidence by the investors in the capabilities of the Exchange and a
recognition of its potential.
Going forward, we remain committed to delivering superior returns to all
our stakeholders.
The year 2006-07 has also been a landmark year in terms of the performance
of the Indian capital markets. India continues to attract significant
capital inflows resulting in ever higher levels of Sensex and most other
BSE indices. The Sensex closed above the milestone mark of 15,000 points
for the first time in its history on 9th July 2007, our Foundation Day. The
strong performance of the markets is underpinned by robust performance of
the economy and impressive corporate results.
Last year, I had mentioned the need to revive the F&O segment. During the
year under review, a strategy for increasing volumes in this critical
segment was devised and initial indications are that some increase has been
achieved in volumes under this segment. I am sure the year ahead will
enable us to garner a higher market share in this critical area.
I take this opportunity to express my gratitude to all stakeholders for
their whole-hearted co-operation and guidance in this critical phase of
transformation that the Exchange is going through and look forward to your
continued support to the Exchange in the future.
Warm regards,
Jagdish Capoor
Chairman
8th August, 2007