Unlisted Shares Surge in 2024, Bringing Big Investor Gains

The year 2024 has been an extraordinary period for investors in unlisted companies, with many firms across a variety of sectors delivering impressive returns. The unlisted market saw significant price surges and increased trading activity for well-known entities like Tata Capital, Hero Fincorp, Nayara Energy, Motilal Oswal Home Finance, Cochin International Airport, and others. As these companies gained attention, they also sparked interest in other unlisted shares, making the market an attractive space for investors looking to maximize their returns.

Strong Performances Across Key Unlisted Companies

In 2024, several unlisted companies delivered strong returns, drawing significant investor interest. Here are some of the top performers and their impressive gains:

• Tata Capital: The company’s shares saw a 41.00% increase, catching the eye of investors seeking exposure to a well-established player in India’s financial services sector
  

• Hero Fincorp: This leading NBFC (Non-Banking Financial Company), known for its financing solutions, saw its shares surge by an impressive 39.00%
  

• Nayara Energy: This energy company saw a remarkable 334.00% increase in its unlisted share price
  

• Motilal Oswal Home Finance: This company’s shares rose significantly by 25.55%, attracting investors seeking a solid presence in the housing finance sector
  

• Cochin International Airport: Shares of this major airport saw an eye-catching 95.00% growth, highlighting its strong market position and consistent performance
  

These companies were not just limited to one or two sectors; their diverse presence in industries such as finance, energy, infrastructure, and retail made them popular choices for a wide range of investors.

Source - (Financial Reports) 

Successful IPOs Spark Interest in the Unlisted Market

The success of recent high-profile IPOs has sparked renewed enthusiasm in the unlisted market. Investors who witnessed the substantial gains of companies like Waaree Energies and Swiggy are now actively exploring opportunities in Pre-IPO companies, hoping to benefit from similar price movements.

• Waaree Energies: The company traded at ₹1,599 per share in the unlisted market in January 2024. By its IPO in October 2024, the price had more than doubled to ₹2,897 per share, highlighting the price movement in unlisted shares
  

• Swiggy: Another major player, Swiggy's unlisted share price rose from ₹385 in April 2024 to ₹425 by October 2024. The listing of these companies made the unlisted market more attractive, with investors eager to take part in similar opportunities
  

These listings generated buzz and showed how investors could benefit from participating in the unlisted market before companies became publicly traded.

Source - (Financial Reports)

Here are some examples of private companies and their price movements.

The Metropolitan Stock Exchange of India (MSEI) Surge

One of the more notable developments in the last quarter of 2024 was the dramatic rise in the shares of the Metropolitan Stock Exchange of India (MSEI). This was due to the exchange raising ₹238 crore through the issuance of equity shares on a private placement to a group of investors. The announcement led to higher activity in MSEI’s unlisted shares.

What Made 2024 a Breakout Year for Unlisted Stocks?

The surge in unlisted company shares can be attributed to multiple factors, including India's economic recovery, rising investor confidence, and the growing prominence of startups and mid-sized companies.

Another key driver was the increasing prominence of startups and mid-sized companies. As India’s startup ecosystem continued to thrive, many high-growth companies remained in the unlisted space, offering investors early access to promising ventures. Companies in sectors like fintech, consumer goods, and renewable energy gained significant traction, further strengthening the unlisted market.

Additionally, the wave of IPOs from major firms created a ripple effect, boosting optimism among investors. As several high-profile companies transitioned from the unlisted to the listed segment with strong valuations, investors became more inclined to explore unlisted stocks, hoping to capitalize on similar future opportunities. The prospect of early-stage investments turning into high-value IPOs made the unlisted market even more appealing.


How to Access Unlisted Shares

Accessing unlisted shares was traditionally limited to intermediaries, ESOPs, or direct deals with company promoters. However, platforms like Precize have revolutionized this process, making it more accessible and removing entry barriers.

With a minimum investment of just ₹10,000, Precize allows both new and seasoned investors to explore this growing market. Featuring over 150 private companies, from emerging startups like Boat to established names like Tata Capital, Precize caters to a wide range of investment opportunities.

Conclusion

In 2024, the unlisted share market saw significant activity, with some companies delivering notable returns. The public listings of Waaree Energies and Swiggy brought attention to the performance of unlisted shares. Companies across sectors like finance, energy, and infrastructure recorded varying levels of growth. With more companies preparing for IPOs, unlisted shares remained a point of interest for investors.



(Disclaimer: This information is for private use only and does not constitute investment advice. Investors must assess risks and seek advice from financial, legal, and tax professionals. Private market investments carry risks, and there are no guarantees of returns or capital protection. We are not liable for investment decisions.)