What are unlisted shares?
Unlisted shares are equity in companies that are not yet listed on a stock exchange (NSE/BSE). They trade off-market through registered intermediaries and settle into your demat account via NSDL or CDSL. They are also called pre-IPO or private-market shares.
In short, an unlisted share carries the same kind of ownership as a listed share — a stake in the company — but it is bought and sold privately rather than on an exchange. Below: how they differ from listed shares, where the price comes from, how they settle, and who they suit. This page is information and education, not investment advice.
How do unlisted shares differ from listed shares?
The ownership is the same; the market mechanics are not. Listed shares trade continuously on an exchange at a live public price. Unlisted shares are negotiated off-market and carry an indicative price.
| Feature | Listed shares | Unlisted shares |
|---|---|---|
| Where they trade | On the exchange (NSE / BSE), continuously | Off-market, by negotiation through a registered intermediary |
| Price | Live, public, exchange-quoted | Indicative OTC reference price from recent private deals |
| Liquidity | Generally high | Lower — exit can take time |
| Settlement | Exchange clearing (T+1) | Off-market transfer with a contract note, via NSDL / CDSL |
| Disclosures | Continuous, exchange-mandated | More limited; rely on available financials and research |
| Demat account | Required | Required — shares settle into your own demat |
How is an unlisted share price decided?
Because unlisted shares do not trade on an exchange, there is no live ticker. The figure you see is an indicative over-the-counter (OTC) price — a reference drawn from recent private transactions between buyers and sellers. It is a guide, not a guaranteed dealing price, and it can vary across dealers and over time. On The Pre-IPO Express, each station page shows this indicative price alongside available financials and a research overview for more than 230 unlisted companies.
How do unlisted shares settle?
Settlement happens off-market, but the shares still land in your own demat account. The flow is straightforward:
- You and the seller agree a per-share price, lot size and total amount through a registered intermediary.
- On payment, the seller initiates an off-market transfer of the shares into your own demat account via NSDL or CDSL.
- You receive a contract note recording the transaction.
- The shares reflect in your demat holdings, typically within a few working days.
Crucially, the shares are held in your demat — not in a pooled or third-party account — so ownership sits with you from settlement onward.
Who do unlisted shares suit?
Unlisted shares carry higher risk and lower liquidity than listed shares, and disclosures are more limited. They tend to suit investors who:
- understand that there is no continuous market price and exit can take time;
- are comfortable doing their own research using available financials and company information;
- can hold for a longer horizon and absorb the lower liquidity;
- treat any allocation as a small, risk-aware part of a diversified portfolio.
This is general information about a category of asset — not a recommendation that any particular investor should or should not buy unlisted shares.
Before you board.
What are unlisted shares?
Unlisted shares are equity in companies that are not yet listed on a stock exchange (NSE/BSE). They trade off-market through registered intermediaries and settle into your demat account via NSDL or CDSL. They are also called pre-IPO or private-market shares.
How are unlisted shares different from listed shares?
Listed shares trade continuously on an exchange at a live, public price with high liquidity. Unlisted shares trade off-market by negotiation, carry an indicative (not live) price, settle as an off-market transfer with a contract note, and have lower liquidity and more limited disclosures.
How is the price of an unlisted share decided?
The price shown is an indicative over-the-counter (OTC) reference figure, drawn from recent private transactions between buyers and sellers. It is not a live exchange quote and can vary across dealers and over time.
How do unlisted shares settle?
On payment, the seller transfers the shares into your own demat account as an off-market transfer through NSDL or CDSL, and you receive a contract note. The shares then reflect in your holdings, typically within a few working days.
Are unlisted shares the same as pre-IPO shares?
The terms overlap. All pre-IPO shares are unlisted, but not every unlisted company is heading for an IPO. 'Unlisted', 'pre-IPO' and 'private-market' shares all describe equity that is not currently traded on a stock exchange.
Reviewed in-house by a NISM-certified research reviewer. This certification is not a SEBI registration and the content is information only, not investment advice.
Last reviewed: June 2026
BuyUnlistedShares is the unlisted and pre-IPO business of Gayatri Financial Synergy, a financial-services firm operating in India since 2002. It maintains dated indicative pricing on more than 230 unlisted companies, refreshed daily, alongside price history, available financials and a tracked IPO pipeline, and runs a buy and sell enquiry desk. Enquiries are non-binding. BuyUnlistedShares does not provide investment advice, operate an exchange, execute trades, custody securities or accept customer funds. Any execution and settlement must occur through an appropriately registered intermediary under separate documentation. Unlisted/SME securities carry higher risk and lower liquidity. This guide explains generic off-market settlement and is not a promise that BuyUnlistedShares will execute or settle a transaction.