Universal Commodity Exchange (UCX), a group company of the BSE-listed IT People India, has sold an undisclosed equity stake to Indian Farmers Fertiliser Cooperative Limited (IFFCO). UCX is the latest multi-commodity exchange to get approval from the Government of India. The transaction details were not disclosed.
IFFCO's participation in UCX can help accelerate promoting trading in agri-products across the country and increase the trading volumes, said IT People in a statement. IFFCO is the largest producer and marketer of fertilizers with a strong team of approximately 40,000 Co-operative Societies representing over 50 million farmers across the country supported by 158 Farmers Service Centre (FSC).
The share price of IT People closed at Rs 25 today, up by 4.6%.
According to earlier reports, UCX has sold stakes to grain marketing company Hafed and Rashtriya Chemicals and Fertilisers besides IFCI Venture Capital Fund. A report also said that Netherlands-based Rabobank has picked up a 5% stake in exchange.
Indian commodity exchange market is dominated by Financial Technologies-promoted Multi-Commodity Exchange (MCX) while other major players include National Commodity and Derivatives Exchange (NCDEX) and National Multi-Commodity Exchange (NMCE). International Multi Commodities Exchange and Ahmadabad Commodity Exchange have also got
approval to start trading.