Business India PTI

Regulated pre-IPO trading platform to bring transparency, liquidity for investors: Experts

Market regulator Sebi’s plan to introduce a regulated pre-IPO trading platform could reshape how investors buy and sell unlisted shares, bringing transparency to a space long dominated by the opaque grey market and reducing risks for retail investors, market experts said.

Moreover, for employees, especially those holding ESOPs (employee stock options), the framework could be a game-changer.

Rajesh Singla, founder and CEO of Planify, which deals in buying and selling of unlisted shares, explained that a large portion of ESOPs remains unutilised today as employees lack access to liquidity options before an initial public offering (IPO). With Sebi’s proposed system, they would finally have an avenue to monetise their holdings in a regulated environment.

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