The Great Dip.

What was the reason that brought and kept Indian Unlisted Share enthusiasts on their toes? 

The co-founder of BrainStation India, Tushar Bopche, has a rationale to support the surge in demand for Indian Unlisted Shares, and here it is. 

"This year's select blockbuster IPOs triggered more interest in unlisted shares where investors are seeking early windfall gains. In the past few weeks, there have been some block transactions with institutions selling shares to wealthy individuals at a high premium."

That's so true! As in the same public divulgence from The Economic Times, IIFL securities reported having sold INR 100 crores worth of unlisted shares of Pharmeasy at a premium of 32.05% for INR 103 apiece. These shares were trading at INR 78 previously. 

And it wasn't just Pharmeasy. The unlisted shares of Tata Technologies have more than doubled in the previous year to trade at INR 5,875. Furthermore, the shares of the Indian snack brand Bikaji Food International were also offered at a premium of 45.16% for INR 450 apiece. 

However, all of these muscular premium markings date back to 2021, as the fate of Indian unlisted shares changed with the change in the calendar. 

The above-attached snapshot is from The Economic Times, dated January 11, 2022. 

Yes, you read it. The Indian unlisted space suffered a lot, and it wasn't due to any single reason. Multiple factors pulled the markets down, irrespective of being a Public or unlisted playground. However, before that, let's examine how unlisted players have recently performed. 

• AGS Transact Technologies has been hit the worst, losing over two-thirds of its value from a high of INR 550 to a low of INR 175 in the unlisted share market.

• Sterlite Power Transmission, managed by Anil Agarwal, has plunged 25% to INR 1,250 from INR 1,650.

• Five Star Finance's unlisted shares have dropped more than 10% to INR 670 from INR 750 after receiving SEBI's approval to undertake an IPO on Monday.

• Among other unlisted companies, Lava International has dropped more than 20% to INR 190 per share from INR 240. 

• API Holdings, the parent company of Pharmeasy, has dropped 30% in value to INR 100 from INR 140. 

• Mobikwik, another IPO-bound firm, has plunged 32% to INR 900 from INR 1,300.

In this article, we recently discussed the saddening performance of the Indian unlisted share market space. Therefore, in continuing this, we will be looking at the reasons that made the Indian PE markets suffer. 

Stay tuned! It's a horrific sight, but also, it's the time to invest in value picks!