IPO-bound NSDL is buzzing in the unlisted space, gaining around 25% in just two months from April 25 to June 25. In April, the unlisted share price was around Rs 1,000, which grew to Rs 1,250 per share. Although the DRHP has been approved, the official date of the NSDL IPO has not yet been announced. Check this Nsdl unlisted share price growing chart:-
What is Powering NSDL Unlisted Share Price Gain?
There are many reasons powering this upward surge in NSDL shares. Let’s analyse each of these
1. IPO Anticipation
NSDL is preparing for a 3000 crore IPO expected in July 2025, with existing shareholders trimming the size via a DRHP addendum to about 50.15 million shares. This led to an anticipation among investors to gain from a pre-ipo investment in NSDL.
2. Unlisted Share Transfers Simplified
NSDL began settling unlisted shares using CDSL. This allows NSDL unlisted shares to settle via CDSL without MI approval, slashing transfer time from months to days, making it easier for investors to buy unlisted shares.
3. NSDL Getting Peer Momentum
The strong surge in NSDL can be related to the share appreciation seen in other exchange-linked unlisted shares like NSE and NCDEX. NSE has grown from 1555 to almost 2400 per share in just 2 months. NSDL has benefited from this peer momentum.
4. Strong Q4FY25 Results
NSDL’s strong financial performance is one of the main reasons why NSDL’s unlisted shares saw such growth. The Q4 net profit jumped by 4.77% YoY to Rs 83.3 crore from Rs 79.5 crore in Q4FY24. Q4FY25 Revenue jumped by 9.9% YoY from Rs 394 crore to Rs 358 crore in Q4FY24.
5. Duopoly with CDSL
In India, currently, there are only two entities, known as depositories, that hold and manage securities electronically. They are NSDL and CDSL, both government-registered depositories in India. NSDL has benefited from this competition only with CDSL. Moreover, their business model has long-term contracts, which are less cyclical, which also means higher dependence on a limited number of high-paying customers.
Is it worth buying NSDL unlisted shares?
NSDL unlisted shares have grown 2X in the last 2 years. Currently trading at Rs 1,218 per share. While the fundamentals are solid, current prices can reflect some aggressive expectations. Investors must compare their long-term objectives against the short-term price surges and liquidity constraints.
