Unlisted Firms

MNC-backed firms dominate India's top unlisted companies, combining strong growth and financial discipline, though domestic players are gaining ground

The CMIE sample includes 15,918 of the largest unlisted non-finance-sector companies with available data

Experts warn that unlisted shares often disappoint after IPO due to hype, low liquidity, and valuation gaps

The findings are based on a sample of 4,231 unlisted companies (excluding financial firms), compared with 3,575 listed non-financial companies

Sebi highlighted that these platforms operate in violation of the Securities Contracts (Regulation) Act, 1956, and the Sebi Act, 1992, which are designed to protect investors' interests

Besides MNCs, the top 30 list also includes two public-sector companies: Orissa Mining Corporation and HLL Life Care

IPOs of some of the recent small finance banks (SFBs) have not done so well. However, Utkarsh SFB looks set to buck the trend

Easier access to funds would help lift the mood in a startup sector that has been hit by the global tech market rout

However, investors have to deal with counterparty risk

Proposed norms are in the right direction

Unlisted companies have no formal takeover code and shares are transferred on the basis of contracts and agreements

At present, listed companies need to have shares in electronic form but is not compulsory

Among the 66,063 active unlisted public limited companies, 13,030 were registered in Maharashtra

Experts say the market regulator doesn't have the capacity to take on more responsibilities