SendTech Times
العربية
Capital & PolicyFunding|June 30, 2026, 06:50 PM
REGULATION WATCH:

Zerodha Seeks SEBI Merchant Banking Licence As Brokerage Pressure Builds

BySendTech Times Capital & Policy DeskNewsroom-edited, source-reviewed coverage|Source: Medianama
Newsroom brief

Zerodha Corporate Advisors filed for a SEBI merchant banking licence on April 27, as tighter derivatives rules and lower account-maintenance fees pressure the broker’s core trading business.

Verified against source materialEdited by SendTech Times Capital & Policy Desk
Zerodha Seeks SEBI Merchant Banking Licence As Brokerage Pressure Builds
Image source: Medianama

Zerodha Files Merchant Banking Application

Zerodha Corporate Advisors has filed an application with the Securities and Exchange Board of India for a merchant banking licence.

SEBI’s latest update as of May 31 listed the application date as April 27.

The licence would move Zerodha beyond its core stock broking business if the regulator approves the application.

The filing places Zerodha alongside a dozen other companies waiting for approval to enter investment banking, including InCred Capital and Neo Wealth Management.

Licence Would Add Fundraising And Advisory Work

A merchant banker licence would allow Zerodha to advise companies on fundraising, including initial public offerings and debenture issuance.

It would also open underwriting, securities trading and advisory services.

The licence scope would also let Zerodha serve corporate and wealthy clients through investment, wealth and asset-management work.

Those business lines would diversify Zerodha away from trading-led revenue.

SEBI Rules Have Pressured Trading Revenue

SEBI has tightened retail Futures and Options trading rules to curb excessive speculation.

Since October 2024, the Securities Transaction Tax on F&O has been hiked at least twice.

SEBI also increased the maximum investment limit for Basic Service Demat Accounts from Rs 2 lakh to Rs 10 lakh in September 2024.

That change reduced or removed account maintenance charges for investors holding up to Rs 10 lakh in those demat accounts.

Zerodha CEO Nithin Kamath previously linked tighter F&O oversight to weaker revenue and profit in FY25 and Q1 FY26.

A separate Entrackr report said Zerodha lost about 37,000 active clients in May 2026, while Groww added 27,600 active clients during the month.

Zerodha has also entered international equity investment after securing a Global Access Provider licence from IFSCA, the GIFT City authority.

Angel One, Groww and Upstox also secured that licence.

Approval And Revenue Impact Remain Undisclosed

The application does not mean Zerodha has received the licence.

SEBI has not announced approval, operating conditions, a decision date, expected merchant-banking revenue, named IPO mandates or client commitments for Zerodha Corporate Advisors.

Share this article
inXf

Related articles

More
Warren Health Data Bill Adds AI Chatbots To Broker Ban
Capital & Policy

Warren Health Data Bill Adds AI Chatbots To Broker Ban

A revised Health and Location Data Protection Act would bar the sale of Americans’ health and location information to data brokers, including information shared with AI chatbots. The Verge reported that the bill would give the FTC 180 days to write rules and earmark $1 billion over 10 years for enforcement.

SEBI GARUDA Framework Shortens AIF Launch Path For Startup Funds
Economy

SEBI GARUDA Framework Shortens AIF Launch Path For Startup Funds

SEBI’s GARUDA mechanism can cut some AIF scheme launches to 10 working days, shifting India’s startup-fund process toward disclosure-led filings and manager accountability.

H-1B Ruling Leaves Tech Workers Weighing UAE And Canada Moves
Capital & Policy

H-1B Ruling Leaves Tech Workers Weighing UAE And Canada Moves

A June 8 court ruling struck down a $100,000 H-1B fee, but recruiters and workers say policy uncertainty is still pushing U.S. tech talent toward Canada, the U.K. and the UAE.

Digital Realty Takes $3.5 Billion Virginia Data Center Stake With 2028 Stabilization Ahead
Capital & Policy

Digital Realty Takes $3.5 Billion Virginia Data Center Stake With 2028 Stabilization Ahead

Digital Realty is buying stakes in three Northern Virginia data centers from Blackstone for $3.5 billion, adding leased hyperscale capacity while two sites are not expected to stabilize until 2027 and the third until 2028.

Keep Reading

More Stories

Latest
UK Regulator Presses Apple And Google To Open App Payment RoutesFintech & Digital PaymentsJun 30, 2026UK Regulator Presses Apple And Google To Open App Payment RoutesThe UK Competition and Markets Authority has proposed letting app developers direct users to alternative payment options and is also considering NFC access requirements, but final fees and compliance timing remain unsettled.South Korea Chip Plan Names 800 Trillion Won Without Funding SplitChips & SemiconductorsJun 30, 2026South Korea Chip Plan Names 800 Trillion Won Without Funding SplitSouth Korea announced an 800 trillion won ($520 billion) public-private semiconductor investment plan with Samsung Electronics and SK Hynix. The plan centers on four production facilities and HBM capacity, but it does not specify how much money will come from the state, Samsung or SK Hynix.Khalifa Fund Cybersecurity Program Starts Without Funding Or Cohort DetailsCapital & PolicyJun 30, 2026Khalifa Fund Cybersecurity Program Starts Without Funding Or Cohort DetailsKhalifa Fund and the UAE Cyber Security Council have launched a national program for cybersecurity startups with CyberE71 support. The announcement names mentorship, investor access and partnership support, but gives no funding amount, cohort size or application timetable.Meta Contractor Project Tested Rival Chatbots With Under-18 AccountsAIJun 30, 2026Meta Contractor Project Tested Rival Chatbots With Under-18 AccountsInternal documents and people familiar with the work describe a Meta contractor project that used dummy under-18 accounts to test rival chatbots on suicide, sex, drugs and other high-risk prompts. Meta defended the work as routine safety benchmarking, while rivals said they had not authorized it.Supreme Court Ruling Puts Crypto Regulator Control Back In Senate TalksCapital & PolicyJun 30, 2026Supreme Court Ruling Puts Crypto Regulator Control Back In Senate TalksThe Supreme Court decision in Trump v. Slaughter expands presidential removal power over federal agency commissioners while the Clarity Act remains under Senate negotiation. The ruling leaves SEC and CFTC independence tied to appointments that have not been made.Onsemi Synaptics Deal Adds Edge AI Compute With Approval Still PendingChips & SemiconductorsJun 30, 2026Onsemi Synaptics Deal Adds Edge AI Compute With Approval Still PendingOnsemi is buying Synaptics in an all-stock deal valued at about $7 billion to add edge AI compute, wireless connectivity and human-machine interface assets. The transaction is expected to close in mid-2027 if regulators approve it, but customer deployments and integration milestones remain undisclosed.Nasdaq Verafin Adds AI Agents For Bank Fraud And AML ReviewsFintech & Digital PaymentsJun 30, 2026Nasdaq Verafin Adds AI Agents For Bank Fraud And AML ReviewsNasdaq Verafin said its Agentic AI Workforce will add fraud and AML analyst agents for financial institutions, with general availability expected in the third quarter of 2026. The company cited early workload reductions but did not disclose pricing or independent benchmark validation.Bahrain Bourse Sets 2028 Target For Nasdaq CSD UpgradeCapital & PolicyJun 30, 2026Bahrain Bourse Sets 2028 Target For Nasdaq CSD UpgradeEconomy Middle East reported that Bahrain Bourse plans to move Bahrain Clear to Nasdaq Eqlipse CSD technology, with full deployment scheduled for the fourth quarter of 2028. The report links the upgrade to post-trade modernization, while project cost and migration milestones remain undisclosed.California Opens Claude Access For Government Staff Under Anthropic DealCapital & PolicyJun 30, 2026California Opens Claude Access For Government Staff Under Anthropic DealCalifornia agencies and local governments can use Anthropic’s Claude under a discounted agreement that includes training and support. The deal gives the state an AI procurement path, but the public announcement did not disclose contract length, rollout timing or measured service results.AMD EPYC 8005 Raises SP6 Core Counts Without Customer Rollout DataChips & SemiconductorsJun 30, 2026AMD EPYC 8005 Raises SP6 Core Counts Without Customer Rollout DataServeTheHome reported that AMD EPYC 8005 “Sorano” keeps the SP6 server socket while reaching 84 cores, DDR5-6400 memory and CXL 2.0. The sponsored test material disclosed AMD-supplied CPUs, leaving customer deployments and order evidence outside the public record.Rocket Lab Iridium Deal Adds L-Band Spectrum To Space Connectivity PushTelco & ConnectivityJun 30, 2026Rocket Lab Iridium Deal Adds L-Band Spectrum To Space Connectivity PushRocket Lab agreed to acquire Iridium in a deal valuing the satellite operator at about $8.0 billion, pairing launch and spacecraft manufacturing with Iridium’s L-band network, 2.55 million subscribers and direct-to-device plans.Ukraine Moves $8.3 Million In Seized USDT To State ManagementCapital & PolicyJun 30, 2026Ukraine Moves $8.3 Million In Seized USDT To State ManagementUkraine has moved more than $8.3 million in seized USDT into state management through ARMA, but the assets have not been formally confiscated and four suspects remain unconvicted.