Every question investors most commonly ask about buying and selling unlisted and pre-IPO shares in India, grouped by topic.
Shares of a company not traded on a public stock exchange like NSE or BSE. Ownership transfers directly between demat accounts instead of through exchange order-matching.
Any resident Indian citizen or NRI aged 18+, with a valid PAN card, Aadhaar, and an active CDSL/NSDL-linked demat account.
On PreStocks.in, yes — retail investors can buy as little as 1 share on eligible seller inventory, unlike traditional dealers who often enforce 500–1,000 share minimum lots.
There is no platform-mandated minimum investment beyond the price of the shares you choose to buy — since lots can start from 1 share, entry cost depends entirely on that company’s per-share price.
Indicative prices reflect recent secondary-market transaction data and the company’s most recent funding-round valuation — not a live exchange quote, since the company is not listed.
Different platforms source inventory from different sellers at different times, so quoted prices can vary. Prices also move as new transaction and funding data comes in.
Yes. Valuations can fall if a company’s fundamentals weaken, funding rounds reprice lower, or broader market sentiment shifts — the same risks that affect any equity investment.
Standard settlement is T+1 to T+2 working days after payment confirmation, once shares are transferred via DIS/e-DIS into your demat account.
If shares are not credited within the settlement window, the buyer’s escrowed payment is fully refunded with zero cancellation charges.
No — unlisted shares can be held in a demat account with any depository participant, including Zerodha, Groww, Angel One, Upstox, or ICICI Direct.
Yes. Under SEBI’s depository framework, unlisted shares are issued and held electronically in the same CDSL/NSDL demat accounts used for listed shares.
No. PreStocks.in is a technology marketplace facilitating secondary transactions in unlisted equity — not a registered stock exchange, and not an investment advisor.
Gains are taxed as Short-Term or Long-Term Capital Gains under the Income Tax Act, 1961, depending on the holding period. Consult a tax advisor for your specific situation.
Platform convenience fees, where applicable, may attract GST at the prevailing rate — the share transaction itself is a securities transfer, not a supply of goods or services.
IPO timelines depend on regulatory approvals (SEBI, RoC) and market conditions, and can shift. No platform, including PreStocks, can guarantee a listing date.
No. Buying unlisted (pre-IPO) shares gives you direct equity ownership acquired before listing — it is unrelated to the separate IPO application/allotment process open to the public at listing time.
A Draft Red Herring Prospectus is the document a company files with SEBI ahead of an IPO. A filed DRHP is often the first public signal that a listing is approaching.