About Hyderabad Stock Exchange
The Hyderabad Stock Exchange (HSE) in Hyderabad had started its operations in the year 1941. Initially, the operations were carried out on a very small scale in a building taken on rent in the area of Koti. Later, in 1987, the office was shifted to Aiyangar Plaza, Bank Street.
The continuous process of expansion made it important to have all the trading members under one proof and as a result the company went for the acquisition of bigger premises at 6-3-654/A ; Somajiguda, Hyderabad - 82. The building had 6 floors and premises had a built area of around 486,842 square feet. It also included a cellar of about 70,857 square feet.
In the year 1993, the stock exchange in Hyderabad had 117 members, which over the period of time grew to become 300 by March 31, 2000. It also featured 869 listed companies with the paid-up capital of Rs.19128.95 crores. Between the years 1999 and 2000, the turnover of the stock market in Hyderabad reached Rs. 1236.51 crores.
Background of Hyderabad Stock Exchange
Few noted bankers and brokers started the share and stock Brokers Association in the month of November 1941. Later, Finance Minister Mr. Gulab Mohammed constituted a committee to be responsible for formulating rules and regulations of the stock market in the year 1942.
Hyderabad Stock Exchange was the 6th stock exchange to get recognition under Securities Contract Act. The Government of India recognized HSE on 29 September, 1958. With registering significant growth in the domain of trading and for its yeoman services, the HSE was rendered the permanent recognition, which became effective from 29 September, 1983.
Present Status of Hyderabad Stock Exchange
Securities and Exchange Board of India (SEBI) intimated the Hyderabad Stock Exchange in 2005 that it will have to sell 51% of its total equity to the general public on or prior to August 28, 2007 under the Securities Contracts Regulation Act of 1956 as stated in section 5(2). The exchange could not fulfill the requirement, which as a result amounted to withdrawal of recognition granted to it by SEBI. Consequently, stock exchange was renamed to "Hyderabad Securities and Enterprises Ltd." to continue its operations.
Last Updated on : 19/08/2013