Unlisted Shares
Invest in companies before they list on stock exchanges
Unlisted shares represent ownership in companies that are not yet listed on recognized stock exchanges like NSE or BSE. These could be startups, pre-IPO companies, or private limited firms. Investors buy them for the potential of strong returns if the company grows or lists publicly in the future.
While the opportunity is attractive, investing in unlisted shares carries unique risks and requires careful due diligence. We help clients understand the market, source shares through credible channels, and align investments with their risk appetite.
Why invest in unlisted shares?
Early-Stage Opportunity
Gain exposure to promising companies before they go public or scale up significantly.
Potential IPO Gains
If the company lists on NSE/BSE, investors may benefit from value unlocking at the time of IPO.
Portfolio Diversification
Diversify your holdings beyond listed markets and traditional asset classes.
Long-Term Wealth Creation
Select high-growth companies with strong fundamentals for long-term compounding.
Risks & Considerations
- Liquidity Risk: Finding buyers/sellers in the secondary market can be difficult.
- Valuation Risk: Prices are negotiated off-market and may lack transparency.
- Regulatory Restrictions: Certain lock-in periods may apply post IPO as per SEBI rules.
- Business Risk: Company performance may not meet expectations, affecting returns.
How does investing in unlisted shares work?
1) Selection
Identify potential companies based on fundamentals, industry outlook, and growth plans.
2) Due Diligence
Verify financials, compliance, and background through trusted sources before investing.
3) Transaction
Shares are transferred to your Demat account via off-market deals through authorized intermediaries.
4) Holding Period
Investors typically hold until IPO, buyback, or private secondary exit opportunities arise.
Compliance & Taxation
- Transactions are executed through authorized intermediaries in compliance with SEBI regulations. - Capital gains tax applies on sale/redemption, depending on holding period and applicable laws. - Certain lock-in restrictions may apply post listing.
Unlisted shares are a high-risk, high-reward avenue for investors who understand private equity and pre-IPO markets. We assist you in identifying credible opportunities while ensuring transparency and compliance.
Explore Unlisted Share Opportunities