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NCDEX Unlisted Shares

Investing in India’s Agri-Future: Your Guide to NCDEX Unlisted Shares

The Indian financial market presents a wide array of investment choices. Beyond the familiar listed stocks, a significant opportunity exists in unlisted shares, offering a chance to invest in promising companies before they become widely known. At UnlistedShareBrokers.com, your Delhi-based specialists, we provide access to such opportunities. We are pleased to feature NCDEX (National Commodity and Derivatives Exchange) unlisted shares, a key player in India’s agricultural sector.

This page offers a thorough look at NCDEX as an institution, the specifics of its unlisted shares, potential advantages, associated considerations, and how UnlistedShareBrokers.com helps you with your investment.

About NCDEX: Powering India’s Commodity Markets

The National Commodity & Derivatives Exchange Limited (NCDEX) stands as a leading online commodity exchange in India. Established on April 23, 2003, and commencing operations on December 15, 2003, NCDEX is a professionally managed public limited company. It plays a vital part in the nation’s agricultural economy. The exchange provides a transparent and efficient platform for price discovery and risk management related to various agricultural commodities.

NCDEX facilitates trading in a broad spectrum of commodities, such as:

• Cereals and Pulses: Including Chana, Maize, and Wheat.
• Spices: Featuring Turmeric, Jeera (Cumin), and Coriander.
• Oils and Oilseeds: Such as Soybean, Refined Soy Oil, Mustard Seed, and Castor Seed.
• Other Key Commodities: Cotton, Guar Seed, Guar Gum, and Steel.

Regulated by the Securities and Exchange Board of India (SEBI), NCDEX utilizes advanced technology. This ensures smooth trade execution, clearing, and settlement. By creating a national marketplace, NCDEX supports farmers, traders, processors, exporters, and importers throughout the commodity supply chain.

Key Institutional Support:

NCDEX benefits from the backing of prominent institutional shareholders. Historically, these have included significant names like:

• National Bank for Agriculture and Rural Development (NABARD)
• Life Insurance Corporation of India (LIC)
• National Stock Exchange of India Ltd (NSE)
• Major public sector banks and other financial institutions.

This strong institutional foundation provides NCDEX with credibility and strategic guidance, important factors for any company, especially in the unlisted space.

Why Consider NCDEX Unlisted Shares for Your Portfolio?

Investing in the unlisted shares of an institution like NCDEX presents a distinct opportunity. Here’s why investors are showing interest in NCDEX unlisted shares:

1. Central Role in Agriculture: Agriculture forms a critical part of the Indian economy. NCDEX supports this sector by enabling effective price discovery and risk management for numerous agricultural products. As agriculture modernizes, NCDEX is positioned for continued growth.
2. Strong Backing from Institutions: The involvement of major financial and agricultural bodies as shareholders offers a solid base of governance and trust.
3. Market Leadership: NCDEX is a principal exchange for agri-commodity derivatives in India. Its established infrastructure and wide product range create a strong market presence.
4. Potential for Future Public Listing: Exchanges like NCDEX are often considered candidates for an Initial Public Offering (IPO). Investing before an IPO can offer substantial upside if the company lists successfully.
5. Portfolio Diversification: Commodity-related investments can add a different dimension to an equity-focused portfolio, as commodity prices may move independently of stock market trends.
6. Growth in Derivatives Trading: The Indian derivatives market, including commodities, has significant room for expansion. Increased participation can drive higher volumes for NCDEX.
7. Technological Advancement: NCDEX consistently updates its technology to improve its trading platform and introduce new offerings, preparing it for future market needs.

NCDEX Financial Snapshot and Share Details

Understanding the financial health of a company is key before investing. While full, real-time financial data for unlisted companies is less public than for listed ones, here’s an overview based on available information:

Recent Financial Performance Highlights (Figures in Crores of Rupees, Approx.):

| Metric | FY24 | FY23 | Change (YoY) |
|——————–|———|———|————–|
| Net Sales | 95.7 | 103.9 | -7.9% |
| Total Income | 136 | 135.6 | +0.3% |
| Net Profit/(Loss) | (27.7) | (42.4) | Improvement |
| Earnings Per Share (EPS) (₹) | (3.98) | (6.08) | Improvement |
| Shareholder Funds | 476 | 493 | -3.4% |
| Total Assets | 840.9 | 876 | -4.0% |

Key Observations from Financials:

• In FY24, NCDEX reported total income of ₹136 crore, a slight increase from the previous year.
• The company saw a reduction in its net loss to ₹27.7 crore in FY24 from ₹42.4 crore in FY23, indicating better cost management or improved operational factors.
• The Earnings Per Share (EPS) also showed improvement, though still negative, at ₹(3.98) in FY24 compared to ₹(6.08) in FY23.
• Importantly, NCDEX maintained a debt-to-equity ratio of 0, signifying no debt on its books as of the reported period .

Unlisted Share Metrics (Approximate, may vary):

Market Capitalization: Around ₹1846 Crore
Current Unlisted Share Price: Approximately ₹265 (This price can fluctuate; please contact us for the latest figures)
52-Week High/Low: ₹265 / ₹200
Face Value: ₹10 per share
Book Value: ₹68.3 per share
Stock P/E: -66.6 (Reflects negative earnings)

Investors should always obtain the latest financial statements and share information. UnlistedShareBrokers.com can assist in providing the most current data available before you make an investment decision.

Important Points About NCDEX Unlisted Shares

Investing in unlisted shares requires careful thought. Here are some factors specific to NCDEX:

Potential Risks:

• Liquidity: Unlisted shares generally have lower liquidity than listed stocks. Selling your shares might take time as it depends on finding a willing buyer.
• Price Fluctuations: Prices in the unlisted market can change more frequently due to lower trading volumes and varying information availability.
• Information Access: Obtaining comprehensive, up-to-the-minute information about unlisted companies can sometimes be more difficult than for publicly traded firms.
• Regulatory Environment: Changes in SEBI regulations or government policies concerning commodity exchanges could affect NCDEX.
• No IPO Guarantee: While an IPO is a possibility, its timing or occurrence is not certain.
• Business Specifics: NCDEX’s performance is tied to the agricultural sector’s health, trading volumes, and competitive pressures.

Taxation of Unlisted Shares:

Capital gains from unlisted shares are taxed based on the holding period.

• Long-Term Capital Gains (LTCG): If shares are held for more than 24 months, gains are taxed at 12.5% without indexation benefits. (Note: some sources might indicate 10% or 20% with indexation for other types of unlisted assets, but for shares, 12.5% without indexation is a common figure mentioned for unlisted shares specifically). Always verify current tax laws.
• Short-Term Capital Gains (STCG): If shares are sold within 24 months, gains are taxed according to your individual income tax slab rate.
  It is important to report these transactions correctly in your Income Tax Return (ITR).

Lock-In Period:

Generally, there isn’t a lock-in period for buying or selling unlisted shares themselves before an IPO.
However, if you hold pre-IPO shares of a company that subsequently launches an IPO, those shares typically have a mandatory lock-in period of six months from the date of listing. During this time, you cannot sell these specific shares on the stock exchange.

How to Transact NCDEX Unlisted Shares with UnlistedShareBrokers.com

UnlistedShareBrokers.com, located in Delhi, makes the process of buying and selling NCDEX unlisted shares straightforward.

1. Consultation: Contact our team. We’ll discuss your investment goals and the quantity of NCDEX shares you’re interested in.
2. KYC Process: We complete the necessary Know Your Customer (KYC) documentation, typically requiring your PAN card, Aadhaar card, bank details, and Demat account statement.
3. Price Agreement: We provide the current indicative market price for NCDEX shares. Once you agree, we confirm the transaction details.
4. Funds and Shares Transfer:
   Buyers: Transfer the agreed amount to a designated account.
   Sellers: Transfer NCDEX shares from your Demat account. Most unlisted shares are held in Demat form for security and easy transfer. Shares can be transferred using an offline Delivery Instruction Slip (DIS) or online e-DIS methods, depending on your broker’s facilities.
5. Settlement:
   Buyers: NCDEX shares are credited to your Demat account after fund confirmation.
   Sellers: Sale proceeds are credited to your bank account after share transfer verification.
6. Support: We provide necessary documentation and ongoing support.

Why UnlistedShareBrokers.com?

• Experience: Years of experience in the unlisted shares market.
• Competitive Pricing: Our network helps achieve fair prices.
• Smooth Process: We aim for an efficient transaction experience.
• Expert Information: Our team offers insights to aid your decisions.
• Delhi Presence: Local service for NCR clients, with capabilities across India.

Minimum Investment:

The minimum lot size for NCDEX shares can vary. Some platforms suggest lot sizes like 100 shares or 1000 shares. Please contact us for current details on minimum investment.

The Road Ahead for NCDEX

NCDEX’s future looks positive, supported by several elements:

• Government Focus on Agriculture: Initiatives to improve farmer income and agricultural infrastructure are beneficial.
• Increased Market Participation: Growing awareness among farmers and traders about risk management tools can boost trading volumes.
• Technological Upgrades: Ongoing investments in technology enhance market access and efficiency.
• Market Integration: Efforts to link derivatives markets with spot markets can create a stronger ecosystem.

Your Next Step with NCDEX Unlisted Shares

The National Commodity and Derivatives Exchange (NCDEX) is a key institution in India’s economic structure. Investing in its unlisted shares offers a chance to participate in the growth of India’s agricultural and commodity derivatives market, with the added prospect of a future IPO.

While investing in unlisted shares involves careful consideration, the fundamental strengths and institutional backing of NCDEX make it an interesting option for investors with a medium to long-term view.

Ready to explore investing in NCDEX unlisted shares?

Contact UnlistedShareBrokers.com today. Call us, or connect with our Delhi office for a personal discussion. Let us assist you in understanding the opportunities in unlisted investments.

May 31, 2025