Unlisted shares are equity shares of companies that are not listed on any recognized stock exchange (like the NSE or BSE). These companies operate privately and their shares are not traded publicly. Unlisted shares are typically available at more attractive valuations compared to their listed counterparts, as they are less influenced by market hype and speculation.
These shares is that they offer tremendous growth opportunities. The unlisted shares include the following: Pre-IPO Shares, Delisted Shares, Shares issued in private placements, ESOP Shares, Shares held by group shareholders of private companies, etc.
Buying unlisted shares offers several potential benefits, including early entry into high-potential companies at lower valuations, the opportunity to earn substantial pre-IPO gains, enhanced portfolio diversification beyond traditional assets, access to future industry leaders before they go public, and reduced exposure to daily market volatility. Unlisted companies can distribute dividends to shareholders, subject to the company’s dividend policies and profitability.
Unlisted shares are not as tightly regulated as listed shares, SEBI does have guidelines to protect investors in unlisted public companies. However, investing in unlisted shares also involves unique risks, including limited liquidity, valuation challenges, and regulatory uncertainty. Transactions occur through private placements or OTC deals, and thorough due diligence is essential. Despite these challenges, unlisted shares remain an attractive option for long-term investors looking to gain early exposure to promising companies and achieve portfolio diversification.
Explore the world of unlisted shares today and discover how you can participate in the growth of tomorrow’s market leaders.
Market Movers
Derived Prices
As on 27 Oct, 18:50
Weekly Gainers
Stock Name
Price
Chg(Chg%)
Lenskart Soluti
561.75
28.00(5.25%)
Hindon Mercanti
809.75
36.25(4.69%)
PharmEasy (API
6.39
0.25(4.03%)
OYO Rooms (Orav
27.63
0.63(2.31%)
Balmer Lawrie V
258.00
5.00(1.98%)
Weekly Losers
Stock Name
Price
Chg(Chg%)
Parry Agro Indu
1,347.67
-392.33(-22.55%)
Vastu Housing F
350.00
-100.00(-22.22%)
Hinduja Leyland
200.00
0.00(-11.11%)
ONIX Renewable
97.00
-11.25(-10.39%)
Amol Minechem L
905.50
-89.50(-8.99%)
52 Week High
Stock Name
Price
Chg(Chg%)
No data available. Check after some time.
Top Unlisted Share Companies
Stock Name
Price
Chg(Chg%)
Vastu Housing F
350.00
-100.00(-22.22%)
Goa Shipyard Lt
3,697.67
0.00(0.00%)
HDFC Ergo Gener
369.50
0.00(0.00%)
Roppen Transpor
51,675.00
0.00(0.00%)
Ecom Express Li
361.00
0.00(0.00%)
Note: Prices are derived on Moneycontrol from below partners
Unlisted shares are equity shares of companies that are not listed on any recognized stock exchange (like the NSE or BSE). These companies operate privately and their shares are not traded publicly.
How can I buy unlisted shares?
Unlisted Shares can be bought through:
Brokers or intermediaries specializing in unlisted shares.
Private placements directly from the company.
Online platforms that facilitate buying and selling of unlisted shares.
Can foreign investors buy unlisted shares in India?
Yes, but they must comply with FEMA (Foreign Exchange Management Act) regulations, and there may be additional conditions or restrictions based on the sector.
What are the potential benefits of investing in unlisted shares?
Potential for high returns: Unlisted companies, especially high-growth startups, can offer the potential for significant returns if they are successful.
Early access to promising companies: Investing in unlisted shares allows you to invest in companies early on in their growth trajectory.
Diversification: Unlisted shares can provide diversification benefits to your overall investment portfolio.
Are there risks associated with investing in unlisted shares?
Yes, investing in unlisted shares carries risks such as illiquidity, limited information, and potential loss if the company does not perform well.
Are Unlisted Shares regulated by SEBI?
While unlisted shares are not as tightly regulated as listed shares, SEBI does have guidelines to protect investors in unlisted public companies
What are the tax implications of investing in unlisted shares?
The unlisted shares holding period decides the capital gains tax rate.
Short-Term Capital Gains (STCG): If sold within 24 months, gains are taxed as per the investor’s income tax slab.
Long-Term Capital Gains (LTCG): If held for more than 24 months, gains are taxed at 20% with indexation benefits.
Dividend Taxation: Dividends from unlisted shares are taxed at the individual’s applicable income tax rate.
What is the lock in period for Unlisted Shares?
If you purchase unlisted shares of a private company, you can sell the unlisted shares anytime you’d like before they are listed on the public markets. As per SEBI rules, once an unlisted share company is listed, purchased private/ unlisted shares have a lock-in for six months from the date of listing.
What is the kind of time horizon involved in investing in growth-stage or unlisted shares companies?
The journey from substantial growth in late-stage private/unlisted companies to listing typically spans 6 months to 3 years. This process entails securing shareholder approval, streamlining internal processes, engaging merchant bankers, filing DRHP, obtaining SEBI approvals, and more.
How can I find information about available unlisted shares?
You can explore unlisted share trading platforms like Altius Investech, Wealth Wisdom India Private Limited, Unlisted Zone and Planify to research the companies directly.
What is the difference between unlisted and delisted shares?
Unlisted Shares: These shares are typically privately held and never traded on a public stock exchange. Delisted Shares: These were once traded on a stock exchange but have been removed from trading on that exchange for various reasons.