The Multi Commodity Exchange (MCX), India’s largest commodity bourse, has received three bids for its trading technology platform. The bidders include TCS, 63moons Technologies and Millennium Exchange. The MCX had called for bids in October with a deadline of November 20. But the exchange extended the deadline to December 6.

Currently, MCX is using trading technology from 63moons, since the inception of the exchange in 2003. Millennium Exchange is a technology company of the London Stock Exchange group. The current contract size of the technology is likely to be around ₹500 crore or less, which would be spread over the years. However, if MCX chooses to go with new players, the contract size would double since it would involve developing a new source code too, sources said. A source code is nothing but the basic computing structure of any technology. The current contract of MCX with 63moons will expire in September 2022.

In its request for proposals issued on October 17, the MCX had said that while the solutions system will initially be used for commodity derivatives trading, it needs to be “extensible” to commodity spot, equity and equity related derivatives , debt , currency derivatives and interest rate derivatives in order to “achieve” the “vision” of MCX to become a universal exchange.

Currently, the MCX enjoys around 95 percent market share in the metals and energy derivative trading. As a universal -enabled exchange it will compete with the likes of National Stock Exchange and BSE. As on Wednesday’s share price, the market capitalisation of MCX stood at ₹8,583 crore with a price to earnings multiple of 40 on the BSE. MCX did not comment on an email query.

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