Explain history of SME Platform or SME IPO in India?

In mid 1990's, we witnessed formation of Over The Counter Exchange of India, popularly known as OTCEI in those days. Unfortunately we also marked pre-mature death of the said exchange as it could not get the support needed at that time and the concept was introduced far ahead.

The Prime Minister's Task Force (Jan. 2010) had recommended the setting up of a dedicated Stock Exchange/ Platform for SMEs. SEBI has also laid down the regulations for the governance of SME Platform. To this initiative, the Bombay Stock Exchange and the National Stock Exchange have established BSE SME Platform and EMERGE respectively. The Stock Exchanges are continuously working towards making the platform most suitable for companies to become big from small by raising funds from Capital Market.

Now we have SME platform that works on the new concept of screen based trading. BSE was the first exchange to launch SME platform in India in 2012 and has around 120 scrip listed on it in last three years (till 31.12.15). NSE too followed the footsteps but has just around a dozen scrip listed on it.

As SME IPOs have given better rewards in the process post listing and has also helped some corporate to migrate to main board after maiden listing on SME platform and thus this segment is catching interest across the board.