Delisted shares: what they are and how to sell them
Reviewed by GrowFast's desk. General information, not advice.
The short answer
A delisted share is still a share in the company; it is just no longer traded on a stock exchange. After a voluntary delisting, the rules give remaining shareholders at least one year to sell to the acquirer at the delisting price. After that there is no guaranteed buyer, and you sell privately, to a dealer or another investor.
What delisting means
Delisting is the removal of a company's shares from a stock exchange. The company carries on as before and you remain its shareholder, with the same rights to dividends and votes. What you lose is the exchange: there is no screen price and no buyer waiting.
A delisting is either voluntary, where the promoters choose to take the company private, or compulsory, where the exchange removes it for breaking the listing rules.
The exit after a voluntary delisting
- Under SEBI's Delisting Regulations, 2021, shareholders who did not sell during the delisting offer may tender their shares to the acquirer for at least one year from the date of delisting.
- The acquirer must accept them at the same price at which the delisting succeeded.
- Once that period ends, we know of no continuing duty on anyone to buy. You hold shares in an unlisted company.
If the delisting was compulsory
For a compulsory delisting, the regulations provide for an independent valuer to set a fair value and require the promoters to acquire the public's shares at that value. In practice this depends on the promoters paying. Shareholders may also keep their shares.
How to sell delisted shares after that
- Check that the shares are in your demat account. Shares still held as paper certificates usually have to be dematerialised first.
- Find a buyer. A dealer in unlisted and delisted shares, such as GrowFast, can tell you whether it buys that share and at what price.
- Agree the price and quantity. Prices for delisted shares are negotiated; there is no market quote.
- Transfer the shares from your demat account with a delivery instruction to your depository participant, and receive payment as agreed.
Not every delisted share has a buyer. Shares of companies that are insolvent, or have stopped filing accounts, may be impossible to sell.
Questions people ask
Do delisted shares become worthless?
No. They still represent ownership in the company. Their value depends on the business, and on finding a buyer, since there is no exchange to sell on.
Can a delisted company list again?
It can apply to list again, subject to the waiting periods and conditions in SEBI's regulations. Nothing obliges it to.
How are gains on delisted shares taxed?
They are taxed as unlisted shares. See the guide on how unlisted shares are taxed.
Sources
- SEBI (Delisting of Equity Shares) Regulations, 2021
- NSE checklist for the exit opportunity after delisting
This guide is general information as the rules stood on 9 Oct 2026. Rules and tax rates change. It is not investment, legal or tax advice; check the sources and take professional advice before you act. See the Terms and Conditions.