Trading activity in the unlisted share market has experienced a significant decline following the National Stock Exchange of India's (NSE) stock market debut last month. According to brokers, the value of average daily client purchases of unlisted shares has nearly halved across various platforms since the exchange's listing. NSE had accounted for more than half of trading volumes in this unregulated over-the-counter market, making its departure a substantial blow to overall market activity. The decline reflects the market's adjustment to the absence of one of its most dominant players in the unlisted segment.
As reported by The Economic Times, NSE made up nearly 50-60% of trading volumes in unlisted markets, creating expectations that unlisted activity would slow down sharply with the exchange's listing. For over a decade, NSE had been one of the most sought-after names among investors in the unlisted market, with demand picking up further ahead of its much-awaited IPO in the third week of September. The exchange's dominance was particularly evident in the run-up to the IPO, when millions of shares changed hands on a daily basis as the buying process became significantly faster. This substantial market share departure has created a noticeable gap in trading volumes across the unlisted segment.
Despite the overall decline, Metropolitan Stock Exchange of India (MSEI) has emerged as the most actively bought unlisted stock, while Transline Technologies, Quality Enviro Engineers and Sun Drops Energia are also attracting investor interest. According to brokers, none has come close to matching NSE's popularity in terms of purchase volumes, though some companies are gaining momentum in the post-listing environment. The current market dynamics show that while NSE's departure has created a void, other platforms are gradually establishing their presence in the unlisted trading space.
Market participants suggest that another set of companies tends to emerge and take its place when major unlisted companies get listed, creating a natural cycle in the market. As noted by The Economic Times, interest is also emerging in companies such as PPFAS, GFCL EV, MT&T Rental, Prisma AI, Goodluck Defence and Vervesemi, indicating continued investor curiosity despite the current decline. API Holdings, the parent company of Pharmeasy, Oravel Stays, the parent of Oyo, and Hindustan Power Exchange are among other popular stocks in the segment. The unlisted market continues to offer pre-IPO opportunities, though with higher risk and lower liquidity compared to listed stocks.
