Buy and Sell Unlisted Shares in India: Beginner's Guide 2025
Buy and sell unlisted shares in India with Bharat Unlisted. Learn how to start safely with this beginner's guide for 2025.

Introduction: Why Unlisted Shares Are Gaining Popularity in 2025
If you’ve been curious about alternative investments, buy and sell unlisted shares might be your next big move. With India's startup ecosystem booming and companies delaying IPOs longer than ever, unlisted shares offer early access to high-growth ventures.
In 2025, tech-savvy investors are turning to unlisted equity markets to diversify and potentially amplify their portfolio returns. But how do you safely navigate this opaque world? Let’s break it down step by step.
What Are Unlisted Shares?
Unlisted shares are stocks of companies not traded on formal stock exchanges like the NSE or BSE. These companies may be startups, subsidiaries of listed firms, or private limited companies that haven’t gone public yet.
Key Characteristics of Unlisted Shares
- Lower liquidity than listed stocks
- No daily market price
- Higher risk-reward ratio
- Requires direct dealing or through brokers
Well-known examples include shares of Reliance Retail, Tata Technologies, and HDFC Securities—all previously available as unlisted.
How to Buy and Sell Unlisted Shares in India
This is the section where beginners often get confused. The unlisted space doesn’t have centralized exchanges, so the process is different.
1. Find a Trusted Unlisted Shares Dealer/Broker
Your journey begins with identifying a reliable unlisted shares dealer/broker. Look for brokers registered with SEBI and check for client reviews, industry tenure, and transparent pricing. These dealers often maintain inventory of pre-IPO stocks or help source them from existing investors.
Tip: Use platforms like Bharat Unlisted, UnlistedZone, Sharespost India, or consult a SEBI-registered intermediary for verified deals.
2. Research the Company
Before investing, perform due diligence on the company’s:
- Financial statements
- Valuation metrics
- Growth trajectory
- Exit strategies
Use data from platforms like MCA.gov.in or Tracxn to ensure legitimacy.
3. Transaction & Settlement
Once you agree on the price:
- Shares are transferred to your Demat account
- Payment is made via NEFT/RTGS/UPI
- Documentation (ISIN confirmation, invoices) should be stored
Settlement time usually takes 2–3 working days.
Why People Buy and Sell Unlisted Shares
Higher Growth Potential
Investors often buy sell unlisted shares to enter early into promising companies that could multiply post-IPO. For instance, those who bought Nazara Technologies pre-IPO saw returns of over 70% post-listing.
Portfolio Diversification
Adding unlisted shares diversifies a portfolio beyond traditional equities, bonds, and mutual funds.
Long-Term Wealth Building
Some investors hold these shares for 3–5 years, benefitting from both valuation growth and eventual public listing.
Risks Involved in Unlisted Investing
Like every investment, unlisted shares come with risks:
- Illiquidity: You may not find a buyer quickly
- Price Volatility: No transparent pricing
- Company Risk: No regulatory disclosure requirements
- Tax Implications: LTCG applies after 24 months; STCG otherwise
Still, with a solid strategy and guidance, risks can be mitigated.
Real-World Example: A Pre-IPO Win
In 2021, an investor bought shares in Tata Technologies through an unlisted shares broker at ₹250 per share. The company listed in 2023 at ₹850. That’s a 240% return in just under two years—proving the potential of early investments in fundamentally strong businesses.
Tools and Resources for Beginners
- MCA.gov.in – Company registration and filing data
- Screener.in – Financial statements of unlisted subsidiaries
- Registrar & Transfer Agents (RTAs) like Link Intime for verifying ISIN
- StartupIndia – Govt. insights into private startups
Summary: Your 2025 Playbook to Buy and Sell Unlisted Shares
Unlisted shares represent a compelling opportunity in India’s fast-evolving investment scene. While they carry higher risks, the rewards can be substantial for informed investors. Follow a trusted process, stay informed, and always verify before you invest.
Ready to begin? Start by opening a verified Demat account and connecting with a SEBI-registered unlisted shares dealer.
FAQs
1. What are unlisted shares?
Unlisted shares are stocks not traded on public exchanges like NSE/BSE. They are typically from private or pre-IPO companies.
2.How can I verify the authenticity of unlisted shares?
Check the company’s ISIN, use MCA.gov.in to review filings, and consult SEBI-registered brokers.
3. Is it legal to buy and sell unlisted shares in India?
Yes, it's completely legal if done through proper channels like verified dealers and Demat transfers.
4. What is the tax treatment for unlisted shares?
LTCG (after 24 months) is taxed at 20% with indexation. STCG is taxed as per your income slab.
5. Can I sell unlisted shares before a company goes public?
Yes, you can sell to other investors or brokers, though finding a buyer may take time.
About the Creator
Bharat Unlisted
Bharat Unlisted offers unique investment options in unlisted shares, pre-IPOs, and ESOPs. It’s a trusted platform to buy and sell unlisted shares in India with ease and transparency.



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