NSE Unlisted Shares: National Stock Exchange

In the ever-evolving world of financial markets, the National Stock Exchange of India (NSE) holds a unique place. Though most recognize it as India’s premier trading platform for equities and derivatives, what lies beneath the surface is equally compelling: NSE’s unlisted shares. As of June 10, 2025, these shares present a rare opportunity for informed investors to secure stakes in what could soon become one of India’s most monumental public listings—on par with LIC in scale and significance.

Unlisted shares allow investors to gain confirmed allotment, unlike the often oversubscribed IPOs. This guide by StartupLanes combines exhaustive analysis, thorough financial breakdowns, growth projections, and risk assessment to equip discerning investors with institutional-quality insights.

Whether you’re building a pre-IPO portfolio, seeking diversification, or aiming for multi-bagger returns through regulated financial infrastructure, this guide is tailored for you. Let’s dive deep into the world of NSE’s unlisted equity and help you decide if this is the missing piece in your alternative investment strategy.

Management Team

The National Stock Exchange of India is governed by one of the most structured and professionally supervised leadership hierarchies in the country’s financial services industry. Since its inception in 1992, NSE has prioritized transparency, technology-led governance, and regulatory excellence, all of which are reflected in the capabilities of its leadership.

Key People

Ashishkumar Chauhan – Managing Director & CEO
Appointed in 2022, Ashish Chauhan is one of the most respected names in Indian capital markets. Known for pioneering work at BSE (Bombay Stock Exchange), where he served as MD & CEO for a decade, Chauhan brings over 30 years of experience in technology, trading infrastructure, and regulatory compliance. Under his leadership, NSE is aggressively modernizing trading systems, increasing global collaborations, and working toward its much-anticipated IPO.

Sundararaman Ramamurthy – President & COO
With over three decades of experience in the Indian financial ecosystem including stints at IDBI and Clearing Corporation, Ramamurthy oversees the exchange’s operational integrity. He ensures the NSE’s trading platform maintains its unmatched reliability and uptime performance—critical to its 90%+ market share in key segments.

Mrugank Paranjape – Director, NSE Clearing Ltd
Mrugank brings valuable experience from ICICI Securities and Multi Commodity Exchange. At NSE Clearing, he ensures the seamless processing of trades, margin collection, and systemic risk management.

Prakash Gaba – Independent Director & Risk Committee Head
A veteran of banking and compliance, Gaba is instrumental in managing NSE’s risk exposure and aligning policies with global best practices.

Ravi Varanasi – Chief Business Development Officer
Ravi leads the growth of institutional partnerships, data licensing, and index business. His strategies have helped NSE strengthen its role as a data powerhouse and international collaborator.

Governance Framework

NSE’s Board of Directors includes representatives from the Reserve Bank of India, SEBI, and independent industry experts. All key actions undergo scrutiny from SEBI, ensuring that strategic decisions, IPO plans, and market innovations meet regulatory standards.

The collective experience of NSE’s leadership, spanning regulation, trading systems, global strategy, and fintech, is a major strength. It underpins NSE’s ambitious growth in India and abroad—factors that elevate its valuation in the unlisted market.

Industry of Business

The National Stock Exchange of India (NSE) operates within the financial services and capital markets industry, one of the most heavily regulated, strategically vital, and rapidly evolving sectors in the Indian economy. NSE is not just a player—it is the dominant infrastructure backbone of India’s equity, derivatives, debt, and commodity trading ecosystems.

Overview of the Indian Capital Market

India’s capital market has witnessed exponential growth in the last two decades, with the total market capitalization crossing ₹400 lakh crore by 2025. With increasing retail participation, digital broking, and the shift toward algorithmic and high-frequency trading, the Indian market is transitioning into a technology-first financial hub.

SEBI’s continuous modernization of market regulations, coupled with India’s expanding investor base (150+ million demat accounts), has led to increasing trading volumes and financial product innovation. In this environment, NSE acts as the core utility—servicing every vertical from primary issuance to secondary trading and clearing.

NSE’s Position in the Industry

NSE is India’s largest financial market infrastructure institution, controlling:

It competes not only with BSE domestically but also aims to benchmark against global exchange giants like NASDAQ, Deutsche Börse, and CME Group.

Global Context

Globally, exchanges have evolved from being trading platforms to data, analytics, and technology providers, often offering cloud-based services, AI-based surveillance, and blockchain settlement systems. NSE is actively moving in this direction, investing ₹2,100 crore in digital trading infrastructure, aligning with trends in global exchanges.

Regulatory Support & Entry Barriers

India’s regulatory environment—through SEBI, RBI, and Ministry of Finance—ensures high scrutiny and compliance for any exchange-level institution. As a result, entry barriers are incredibly high, creating an oligopolistic market dominated by NSE.

Future Outlook

The Indian capital markets industry is expected to grow at a CAGR of 14–17% over the next five years, driven by:

NSE, already the largest player in this sector, is uniquely positioned to benefit from all these tailwinds.

Product/Services

The National Stock Exchange (NSE) offers a comprehensive suite of products and services that support its role as the core financial infrastructure provider of India. From facilitating equity and derivatives trading to offering data analytics and technology services, NSE operates at the center of Indian capital markets, catering to investors, institutions, brokers, issuers, and regulatory bodies alike.

1. Equity Trading

NSE’s cash equity platform is India’s most liquid and widely used market for trading shares. It supports:

Daily turnover in the cash equity segment averaged ₹32,000 crore in FY25, with NSE holding over 83% market share in equity trading.

2. Equity Derivatives

NSE dominates India’s derivatives market with over 92% share in index and stock futures/options. Products include:

The platform is supported by real-time margining, robust clearing infrastructure, and advanced surveillance systems.

3. Currency Derivatives

NSE offers futures and options on currency pairs such as:

This segment sees significant participation from exporters, importers, and hedgers, with NSE competing closely with BSE and MCX-SX in this vertical.

4. Commodity Derivatives

Through NSE IFSC and its partnerships, NSE provides access to:

The commodity segment has seen growth with SEBI’s introduction of newer derivative products and longer trading hours.

5. Debt Instruments

NSE’s bond and fixed-income platform enables:

NSE’s Electronic Bidding Platform (EBP) has become the go-to place for debt issuance by corporations and PSUs.

6. NSE Clearing Ltd.

One of the strongest arms of the NSE ecosystem, NSE Clearing:

It processes billions in notional value daily and has never had a default in its 28+ years of operation.

7. NSE IFSC (International Exchange)

Located at GIFT City, Gujarat, NSE IFSC offers:

This arm is vital for India’s integration into global financial markets.

8. Indices & Benchmarks

NSE owns and operates Nifty Indices, India’s most widely tracked benchmark suite. These include:

These are used by mutual funds, ETFs, insurance firms, and even global funds for benchmarking and passive investment.

9. Market Data & Analytics

One of the fastest-growing segments:

This segment generated ₹1,300+ crore in FY25 with a 28% YoY growth.

10. Technology Infrastructure Services

NSETech powers:

In FY25, NSE spent ₹2,100 crore upgrading its tech stack, including AI-based monitoring and blockchain integrations.

Business Model

The National Stock Exchange (NSE) operates on a multi-revenue, high-margin business model that combines transaction-based income, subscription services, licensing, and infrastructure provisioning. As India’s largest stock exchange, NSE enjoys both monopoly-like market share and diversified income streams, making it one of the most profitable and resilient business models in the Indian financial ecosystem.

1. Transaction-Based Revenue

NSE earns a significant portion of its income from fees on trading activity across segments.

Over 80% of trading activity in India across these verticals happens on NSE, giving it economies of scale.

2. Clearing & Settlement Revenue

Via NSE Clearing Ltd., the exchange earns:

This segment contributes over ₹1,400 crore annually and is growing steadily with the rise in transaction volumes.

3. Data Licensing & Analytics

NSE monetizes its vast data reservoir through:

This is a high-margin, scalable business, with over 65% EBITDA margins.

4. Listing & Compliance Fees

NSE charges:

As of FY25, over 2,000 companies are listed on NSE’s equity platform, contributing steadily to non-transactional revenue.

5. Subscription & Membership

These ensure recurring revenue from its B2B user base.

6. International Operations – NSE IFSC

At GIFT City, Gujarat, NSE operates its international exchange:

NSE IFSC aims to contribute over ₹500 crore annually by FY27.

7. Platform-as-a-Service (PaaS) for Fintechs

NSE is now providing APIs, core trading infrastructure, and regulatory sandboxes to fintech startups and algo trading platforms:

8. Dividend Income

NSE holds strategic investments in key infrastructure entities like:

These subsidiaries pay handsome dividends, which augment NSE’s earnings stability.

9. Technology & Infrastructure Revenue

From co-location servers, low latency networks, and proprietary software to surveillance tools, NSE earns:

Summary Snapshot:

Revenue StreamContribution to Total Revenue (FY25)Gross Margin
Trading Fees~43%78%
Data & Analytics~12%85%
Clearing & Settlement~18%80%
Listing & Compliance~7%90%
Tech & Infra~10%65%
International & Others~10%75%

NSE’s model is robust, annuity-driven, tech-enabled, and continues to benefit from regulatory protection, network effects, and first-mover advantage.

History of Company

The National Stock Exchange of India Limited (NSE) is more than just a stock exchange—it’s the architect of India’s modern capital markets. Since its founding in the early 1990s, NSE has revolutionized trading with technology, transparency, and trust, transforming India from a fragmented paper-based trading ecosystem into one of the most advanced and trusted financial systems globally.

Early Genesis: Reform After Crisis (1992–1994)

The idea for NSE was born in the aftermath of the 1992 Harshad Mehta scam, which shook investor confidence and exposed deep flaws in the Bombay Stock Exchange’s (BSE) floor-trading model.

By 1994, NSE had gone live with trading in the wholly automated screen-based system, making India one of the earliest adopters of such technology worldwide.

The Technology Revolution (1994–2000)

NSE’s greatest innovation was its completely demutualized structure from inception:

Key milestones:

During this period, BSE still operated via open outcry, giving NSE a technological edge and rapidly rising market share.

The Rise of Derivatives & Market Dominance (2000–2010)

NSE introduced equity derivatives in 2000, including index futures, options, and stock futures—becoming India’s derivatives powerhouse.

Key entities created:

By 2010, NSE had:

The Global Ambition Phase (2010–2020)

NSE began scaling globally:

Challenges:

Despite this, NSE remained robust, posting record profits, dividends, and product launches.

The IPO Journey & Pre-IPO Restructuring (2020–2025)

The long-awaited IPO was delayed due to regulatory actions, structural changes, and COVID-19 disruptions.

Steps toward IPO:

NSE emerged with over ₹28,000 crore in free reserves, zero debt, and strong dividend history.

Key Turning Points in NSE History

YearEvent
1992NSE incorporated
1994Equity trading launched
1996NSCCL & Nifty 50 introduced
2000Equity derivatives launched
2005NSE becomes #1 exchange by turnover
2010NSE IFSC and global partnerships begin
2017SEBI penalizes NSE for co-location issues
2020IPO plans rebooted
2024Bonus issue 4:1 to prepare for IPO
2025DRHP ready for IPO filing (expected Q3 FY26)

NSE’s journey from a tech pioneer to a financial infrastructure giant has mirrored India’s economic transformation. It is now poised to become India’s most valuable financial institution post-IPO.

Sure! Here’s the updated Price Table section for NSE Unlisted Shares with the new pricing slab ranging from ₹2,300 (100 shares) to ₹2,360 (5,000 shares):

Price Table

As of June 2025, StartupLanes is offering NSE Unlisted Shares at fixed pricing slabs, catering to a wide range of investor capacities—from small ticket entrants to serious institutional buyers. The rates are designed to reflect real-time market demand while maintaining investor-friendly access.

Quantity (Shares)Price per Share (₹)Total Investment (₹)
1002,3002,30,000
5002,29011,45,000
1,0002,28022,80,000
2,0002,27045,40,000
3,0002,26567,95,000
4,0002,26290,48,000
5,0002,2601,13,00,000

🟡 Note:
These prices are indicative and subject to daily change based on secondary market demand and availability. Final pricing will be locked at the time of confirmation.

Key Investment Highlights:

Peer Review

NSE continues to showcase its dominance in India’s capital markets through outstanding financial performance and favorable valuation metrics. Here’s a revised comparison with key data points updated to FY25:

MetricNSE (Unlisted, FY25)BSE Ltd (Listed, FY25)
Consolidated Net Profit₹12,188 crore (+47% YoY) ₹1,322 crore (+227% YoY)
Q4 Net Profit₹2,650 crore (+7% YoY)₹494 crore (+362% YoY)
EBITDA Margin (FY25)75.1%51%
Return on Equity (ROE)41% (Standalone)29.7%
P/E Ratio~24.8× (last unlisted trades)~80.2×
P/B Ratio~6.9×~19.8×

🔍 What This Means for Investors

Bottom line: NSE offers a compelling value proposition as it approaches its anticipated IPO, with a unique balance of large-scale profits, high efficiency, and comparatively conservative valuation. A rare opportunity in the intersection of strong fundamentals and pre-public access.

Competitors Analysis

India’s capital market infrastructure is largely a duopoly, with NSE and BSE at the helm. However, there are emerging competitors and international benchmarks worth noting for comparison in terms of funding, revenue, and market capitalization.

🏛️ 1. BSE Limited (Bombay Stock Exchange) – Primary Competitor (Listed)

Analysis:
Despite aggressive innovation, BSE’s derivative segment remains small compared to NSE. BSE is growing in niches like SME IPOs and mutual fund distribution, but still lacks NSE’s dominance in institutional segments.

🌍 2. CME Group (USA) – Global Peer for Derivatives

Analysis:
While much larger in scale, CME’s operating margins and tech infrastructure serve as a benchmark for NSE as it expands into global linkages.

🇩🇪 3. Deutsche Börse (Germany) – Integrated Exchange Model

Analysis:
Deutsche Börse’s integrated post-trade services and data business is similar to NSE’s direction in expanding its analytics and SaaS income.

🍀 4. MCX (Multi Commodity Exchange) – Segmental Peer in Commodities

Analysis:
MCX doesn’t directly compete with NSE’s core but shares relevance as a platform. NSE has shown interest in commodity derivatives, a segment MCX leads.

🧬 5. Emerging Private Exchanges & Platforms

Analysis:
While these do not yet challenge NSE structurally, their agility in fintech-led offerings could erode margins in retail trading over the long term.

📊 Summary Table

ExchangeFY25 RevenueNet ProfitMarket CapP/EEV/EBITDA
NSE (Unlisted)₹17,850 Cr₹12,188 Cr₹2.2 Lakh Cr*~25×~18.3×
BSE (India)₹1,865 Cr₹1,322 Cr₹27,000 Cr~80×~47×
CME (USA)$5.6 Bn$2.7 Bn$75 Bn~29×~21×
Deutsche Börse₹46,000 Cr₹13,700 Cr₹3.2 Lakh Cr~27×~19×
MCX (India)₹583 Cr₹139 Cr₹10,000 Cr~52×~32×

🔑 Conclusion

NSE holds a monopoly-like advantage in India with a deep moat. Global peers provide a lens for scalability and product diversity. Among Indian exchanges, NSE is not just a competitor—it is the benchmark.

News About the Company

As of June 2025, the National Stock Exchange (NSE) is at the center of major financial developments, technological upgrades, and IPO anticipation. Below are the key updates and events that have shaped NSE’s strategic direction and investor interest in recent months.

📆 June 2025: DRHP Filing in Final Stage

NSE is now expected to file its Draft Red Herring Prospectus (DRHP) with SEBI by the end of June 2025. This comes after a prolonged wait since 2016, when the exchange first expressed IPO intentions. With compliance issues and legal matters now resolved—including the SEBI colocation case—this filing marks the official beginning of the IPO journey.

📍 May 2025: SEBI Clearance for Longer Trading Hours

In a landmark development, SEBI approved NSE’s proposal to extend trading hours from 9:00 AM to 3:30 PM to 7:30 AM to 5:30 PM. This is set to increase trading volumes and better align Indian markets with global schedules.

🔧 April–May 2025: ₹2,100 Cr Technology Upgrade

NSE completed its largest-ever tech infrastructure overhaul:

This upgrade was done in anticipation of the IPO and to match global exchanges in latency and scale.

📈 Q4 FY25 Results: Record Profit Growth

The exchange also declared a special dividend of ₹25 per share for FY25 shareholders, underlining its robust cash flows.

🌍 April 2025: International Partnerships

📉 January–March 2025: Resolution of SEBI Colocation Case

After years of legal wrangling, NSE reached a compliance settlement with SEBI regarding the colocation issue:

This resolution cleared the biggest regulatory hurdle for NSE’s public listing.

🗞️ Media Buzz and Market Sentiment

🧮 Financial Resilience

Despite regulatory settlements, NSE’s balance sheet remains healthy:

📢 Conclusion

NSE is entering a new era, driven by technology, regulatory clarity, and international expansion. Its IPO is no longer just an expectation—it’s now a process in motion. The news cycle is creating a perfect storm of momentum for investors looking to position early in India’s most important capital market platform.

Key Angel Investors

National Stock Exchange (NSE), given its institutional nature and strategic importance, did not follow a conventional startup fundraising path through early-stage angel investors like typical private companies. However, in its early demutualized structure and subsequent stake sales to global investors and institutions, there were strategic stakeholders who played a similar role to that of angel investors—providing not just capital but immense credibility and global positioning.

🔹 IDFC and IFCI

🔹 NYSE Euronext

🔹 Rakesh Jhunjhunwala (indirect role)

🔹 Ravi Narain & R.H. Patil (Founding Team Influence)

Summary

NSE’s early “angel-equivalent” backers weren’t wealthy individuals writing cheques, but rather institutions and visionary professionals who bet on the future of India’s capital markets. Their legacy continues in the form of NSE’s unmatched dominance, robust market structure, and upcoming IPO—which is widely anticipated to be the biggest in India’s history.

Key VCs (Venture Capital & Institutional Shareholders of NSE)

Though NSE is not a startup in the traditional sense, it has attracted institutional investors akin to venture capitalists through private equity rounds, especially after SEBI mandated the dilution of promoter and shareholder stakes. These VC-style investors provided not just capital but also governance oversight, strategic vision, and global positioning.

🔹 Tiger Global Management

🔹 Temasek Holdings (via Aranda Investments)

🔹 Norwest Venture Partners

🔹 GS Strategic Investments (Goldman Sachs)

🔹 SBI Mutual Fund, LIC & PNB

🔹 Stock Holding Corporation of India (SHCIL)

Summary

Unlike early-stage tech startups, NSE attracted strategic institutional investors that brought not just capital, but immense domain expertise, policy influence, and capital market experience. These VC-style backers ensure that NSE enters its IPO phase with global backing, operational transparency, and readiness for public scrutiny.

Executive Summary

The National Stock Exchange (NSE) stands at the precipice of what may become India’s most significant IPO since LIC. As of May 2025, NSE’s unlisted shares represent one of the most compelling pre-IPO investment opportunities in the Indian financial markets. This comprehensive guide provides institutional-grade analysis of:

  1. Current valuation metrics and financial ratios
  2. Detailed business segment breakdowns
  3. Latest news and regulatory developments
  4. Comprehensive risk assessment
  5. Investment thesis and long-term outlook

Disclaimer: Investment in the unlisted shares carries market risks, please consult your SEBI Registered financial advisor before investing. This post is only for the information purpose.

Key Risks

  1. Regulatory Risk
  1. Competition Risk
  1. Technology Risk
  1. IPO Execution Risk

4.2 Risk Mitigation Factors

  1. Monopoly Position: 90%+ market share in key segments
  2. Regulatory Moats: High barriers to entry
  3. Recurring Revenue: 65% of income is annuity-type
  4. Strong Governance: SEBI-supervised operations

Volume Analysis

Corporate Action History

Dividend Track Record

YearDividend (₹/share)Yield (%)
202555 (interim)3.2%
2024483.1%
2023423.0%
2022382.9%

Bonus Issues

NSE has maintained a conservative but shareholder-friendly approach to bonus issues throughout its history. Here’s the detailed bonus issue track record for unlisted shares:

Financial YearBonus RatioRecord DateFace Value Before/AfterKey Context
20244:1November 02, 2024₹1 → ₹1Pre-IPO capitalization restructuring
2020-211:1March 15, 2021₹1 → ₹1Pre-IPO capitalization restructuring
2016-172:1April 5, 2017₹1 → ₹1After demutualization process
2012-131:1June 10, 2013₹1 → ₹1Capital base expansion
2009-103:2September 8, 2010₹1 → ₹1Post financial crisis recovery

Key Characteristics of NSE’s Bonus Issues

  1. Consistent Face Value Maintenance:
    • Unlike many companies that adjust face value post-bonus, NSE has maintained ₹1 face value throughout
    • This creates greater liquidity in the unlisted market
  2. Strategic Timing:
    • Bonus issues typically precede major corporate actions
    • 2021 bonus was before technology infrastructure investments
    • 2017 bonus coincided with demutualization completion
  3. Shareholder Value Focus:
    • Bonus issues have been used to:
      • Improve liquidity for unlisted shares
      • Adjust capital structure pre-regulatory changes
      • Reward long-term shareholders

Upcoming Bonus Possibility (2025-26)

Factors Supporting Potential Bonus:

  1. IPO Preparation:
    • Historical pattern of bonus before major events
    • Could use bonus to optimize retail shareholding pattern
  2. Strong Reserves:
    • ₹28,500 crore in free reserves (FY2025)
    • Reserve ratio of 3.2x paid-up capital
  3. Market Conditions:
    • Peer exchanges (BSE) issued bonuses recently
    • Would improve liquidity for expected IPO

Expected Bonus Ratio:

Impact of Bonus Issues on Unlisted Shares

  1. Price Adjustment:
    • Theoretical ex-bonus price = (Market Price × Existing Shares) / (Existing + Bonus Shares)
    • Example: ₹1,700 price with 1:1 bonus → ₹850 adjusted price
  2. Liquidity Benefits:
    • Increases number of shares outstanding
    • Improves trading volume in unlisted market
  3. Investor Psychology:
    • Typically viewed as positive signal
    • Often leads to price run-up pre-bonus

How Bonus Affects Pre-IPO Investors

  1. Position Sizing:
    • Bonus increases share count at zero cost
    • Effectively lowers average acquisition price
  2. IPO Valuation Impact:
    • Bonus shares get same listing benefits
    • No lock-in period for bonus shares
  3. Tax Treatment:
    • No immediate tax liability
    • Cost of acquisition divided across original + bonus shares

Verification of Bonus Entitlement

For unlisted share holders:

  1. Demat Statement:
    • Bonus shares appear as separate line item
    • Same ISIN (INE0NSE01018)
  2. Registrar Records:
    • Link Intime India handles NSE’s share registry
    • Can verify through registrar portal
  3. Company Notifications:
    • NSE announces through:
      • Exchange website (investor relations section)
      • SEBI disclosures
      • Direct communication to shareholders

Section 8: Frequently Asked Questions

Q: How does NSE’s valuation compare to global peers?
A: At 24.8x P/E, NSE trades at a 20% discount to global exchange averages

Q: What’s the minimum investment period recommended?
A: Ideal holding period is 12-24 months through IPO and beyond

Q: How liquid is the unlisted market?
A: Daily volumes of ₹40-50 crore with 2-3% bid-ask spread

Q: What are the tax implications?
A: LTCG after 24 months taxed at 20% with indexation benefits

Q: How to verify share authenticity?
A: Through NSDL/CDSL holding statements with ISIN INE0NSE01018

Q: Can I sell the unlisted shares anytime?
Yes, but liquidity is lower than listed shares. You can sell through private transactions or intermediaries.

Q: How safe is investing in NSE?
It is relatively safer due to the large structure and leadership of National Stock Exchange in India, strong financials, and upcoming IPO, but all investments carry risks.

Q3. What is the minimum investment amount?
This varies by intermediary and share to share, but typically starts from ₹50,000.

Q4. Will I get bonus or dividends in unlisted shares?
Yes, shareholders are eligible for corporate actions just like listed shares.

Price Target: ₹3,500 (12-month)

Final Thoughts

NSE represents a rare opportunity to invest in India’s financial market infrastructure at a relatively early stage. With its dominant market position, strong financials, and impending IPO, the risk-reward ratio appears highly favorable for investors with a 2-3 year horizon. The current unlisted market prices likely represent the last opportunity to acquire shares before institutional pricing takes effect during the IPO process.

Document Submission (KYC Process)

Required Documents:

How to Proceed:

📞 Contact:
Dr. Shishir Gupta
Founder & CEO, StartupLanes & ZingVest
WhatsApp: +91-9311114301

Invest in NSE today for a secure financial future! 🌟

How to Buy NSE Unlisted Shares?

You can purchase Tata Capital unlisted shares through trusted intermediaries like StartupLanes. Here’s how:

Step 1: Contact Dr. Shishir Gupta via WhatsApp or email.
Step 2: Submit the required documents.
Step 3: Verify the share price and payment instructions in the Deal Note.
Step 4: Make the payment through NEFT/RTGS.
Step 5: Receive shares in your demat account.

Taxation of Unlisted Shares

📜 Disclaimer

The content provided above is for informational purposes only and should not be construed as investment, financial, legal, or tax advice. StartupLanes and its affiliates, employees, contributors, or authors are not SEBI-registered advisors, and any investment decision taken based on this article shall be at your sole discretion and risk.

Investing in unlisted shares involves a high degree of risk and may not be suitable for all investors. Unlisted shares are illiquid in nature, meaning there is no regulated exchange for buying or selling these securities. This may result in difficulty in selling, especially in times of market volatility or regulatory changes. Returns are not guaranteed, and investors may experience partial or total loss of their invested capital.

Prices of unlisted shares may fluctuate significantly, influenced by internal company performance, regulatory updates, market sentiment, and economic conditions. Past performance is not indicative of future results.

StartupLanes is merely acting as a facilitator and does not assure or promise any returns or guarantee share delivery timelines. All transactions shall be conducted based on mutual understanding and acceptance of risks between the buyer and the selling party. Investors are strongly encouraged to conduct independent research and due diligence, and are advised to consult with a SEBI-registered investment advisor or chartered accountant before making any investment decision.

Corporate actions such as bonus issues, dividends, buybacks, or IPO allocations are subject to change by the issuing company and may or may not be available to unlisted shareholders. The investor assumes full responsibility for tracking and verifying such developments.

Furthermore, regulatory authorities such as SEBI, RBI, and MCA may at any time impose compliance restrictions, initiate investigations, or amend laws related to the buying, selling, or holding of unlisted securities. Such developments could impact liquidity, taxation, and legal standing of your investment.

StartupLanes disclaims any and all liability for any loss or damage of any kind arising out of the use of the content herein. By proceeding with any investment in unlisted shares, the user acknowledges and agrees to all the terms outlined in this disclaimer.

For complete clarity on risks, taxation, lock-in, and IPO timelines, consult your legal, tax, and SEBI Registered Financial Advisor before investing.

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