State-owned Oman Investment Fund (OIF) and a hedge fund have agreed to buy 5 per cent of India-based National Stock Exchange's (NSE) stake in the National Commodity & Derivatives Exchange (NCDEX).

The deal valued the bourse at Rs.7 billion ($154.66 million), said The Economic Times report which did not name the hedge fund.

If the deal goes through, it will mark the entry of a sovereign fund into India's seven-year-old commodity futures market that posted turnover in excess of 1 trillion rupees in the financial year ended March, the news paper said.

'OIF has agreed to pick up 5 per cent in the commodity exchange from NSE and a hedge fund will buy 1.1 per cent at a little under 145 rupees a share, the price (Shree) Renuka Sugars paid to buy 7 per cent in NCDEX from Crisil last year,' a person familiar with the development was quoted as saying in the report.

JM Financial is the advisor to NSE on the deal, it added.

NSE and OIF officials were not immediately available for comment.-Reuters