What happens if nifty pe comes to ITM

Let’s say nifty is at 12000 and I sell 11500 pe at 50
At the end of the month nifty has come down to 11400
The pe is at 100. What happens now ??
Can I buy nifty at 11500?? Like it happens in stocks ??

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Nifty PE is european style option. So it is only cash settled. There is no Nifty stock as such. Nifty Fut and Niftybees are like Nifty, but not the same.
Selling Stock PA will obligate you to but that stock, because PA is American style


So cash settled means I will lose 50*75 per lot that’s it ?

The physical delivery in F&O segment is allowed only in equity stock, index options (Nifty, bank nifty…etc) settle in cash. Click here to know how physical delivery settlement works.

In your case, you would have received Cash of Rs 3750 on the day position has shorted and on expiry, day broker debits Rs 7500 (75*100) and pass this to the counter Party. Yeah, your loss would be Rs 3750.00.