Shares and Securities Valuation Services in India
Registered Valuer Reports for Equity Shares, Preference Shares, Debentures, Convertibles and Other Securities
Shares and securities valuation determines the fair value of ownership interests and financial instruments for transactions, regulatory compliance, taxation, accounting, fundraising, restructuring, and shareholder decisions.
At Biz Valuations, we deliver independent, IBBI Registered Valuer-certified reports for listed and unlisted shares, preference shares, debentures, convertible securities, warrants, bonds, and other financial instruments.
Trusted Across 3,500+ Projects409A Valuation ReportIntangible Asset ValuationInd-AS CompliantTrusted by 3500+ ClientsIBBI - Registered Valuer Valuation ReportCompanies Act ValuationFEMA | Income Tax Valuation By Category- I Merchant BankerStartup ValuationBusiness ValuationM&A Valuation
Shares and Securities Valuation Experts in India
Biz Valuations is an IBBI Registered Valuer and Category-I Merchant Banker with over 15 years of experience delivering valuation reports for equity shares, preference shares, debentures, bonds, convertible securities, warrants, shareholder interests, and financial instruments.
Led by Saurobh Barick, we bring expertise across DCF valuation, comparable company multiples, transaction multiples, NAV, market price analysis, yield-based valuation, option pricing, liquidation preference analysis, and complex capital structure allocation.
Our reports support boards, statutory auditors, audit committees, CFOs, founders, investors, shareholders, legal advisors, tax teams, banks, listed companies, unlisted companies, startups, and multinational groups across 35+ industries in India.
Our Specialized Shares and Securities Valuation Solutions
Equity Share Valuation
Fair value of ordinary equity shares for issue, transfer, acquisition, buyback, restructuring, taxation, accounting, and shareholder transactions.
Unlisted Share Valuation
Independent valuation of shares where no active market price exists, using business fundamentals, financial projections, assets, market evidence, and shareholder rights.
Preference Share Valuation
Valuation of redeemable, convertible, cumulative, participating, non-participating, and other preference shares based on their contractual rights.
Listed Security
Valuation
Valuation based on quoted market prices, trading volumes, liquidity, control, regulatory pricing requirements, and transaction circumstances.
Debenture and Bond Valuation
Valuation of secured, unsecured, listed, unlisted, redeemable, non-convertible, and convertible debt securities.
Convertible Security Valuation
Valuation of CCPS, CCDs, OCDs, convertible notes, and instruments that may convert into equity shares.
Warrant and Option Valuation
Fair value of warrants, call options, put options, conversion options, and other rights linked to company shares.
Portfolio and Investment Valuation
Fair valuation of shares and securities held by companies, funds, family offices, trusts, investors, and corporate groups.
Equity Share Valuation for Listed and Unlisted Companies
Preference Share and Debenture Valuation
- Redeemable Preference Shares: Valued based on dividend cash flows, redemption amount, maturity, credit risk, market yield, and contractual priority.
- Convertible Preference Shares: Valued by considering the value of the preference component, conversion rights, equity upside, liquidation preference, and expected conversion scenario.
- Participating Preference Shares: Valuation includes fixed preference rights and participation in residual distributions above specified thresholds.
- Non-Convertible Debentures: Valued using contractual interest, principal repayment, credit quality, security, maturity, market yield, and liquidity.
- Convertible Debentures: The debt component and conversion feature may be analysed separately to identify their respective economic values.
- Zero-Coupon and Discount Securities: Valued by discounting the maturity or redemption amount using an appropriate market-aligned yield.
Valuation Across Different Share Classes
Ordinary Equity Shares
Carry residual economic ownership after all senior claims have been satisfied.
Preference
Shares
May carry liquidation preference, dividend priority, conversion rights, participation, redemption, and protective provisions.
Founder or Promoter Shares
May include voting rights, transfer restrictions, vesting, lock-in, or other contractual conditions.
Partly Paid
Shares
Value is adjusted for unpaid capital commitments, future calls, and rights attached to the partly paid security.
Investor
Securities
Institutional investors may receive preference rights, anti-dilution protection, information rights, board rights, and exit protections.
Employee and ESOP Shares
Ordinary shares received through an employee scheme may be affected by transfer restrictions, vesting terms, and limited liquidity.
Differential Voting Rights Shares
Economic rights and voting rights must be separately considered where the company has issued shares with differential rights.
Restricted or Locked-In Securities
Transfer restrictions, holding periods, marketability, and expected liquidity events may affect the value conclusion.
The Challenge Shares and Securities Valuation Team Faces
- The Face Value Misconception: Face value is an accounting and legal denomination. It does not represent the economic value of the company or the fair value of its shares.
- The Capital Structure Risk: Preference shares, debt, convertibles, warrants, ESOPs, and investor rights can materially change the value attributable to ordinary equity shareholders.
- The Purpose Mismatch Risk: A valuation prepared for fundraising may not be suitable for FEMA, tax, Companies Act, accounting, buyback, or transaction purposes.
- Compounding Proceedings: Two securities issued by the same company may have different values because of differences in liquidation, voting, dividend, conversion, or redemption rights.
- The Marketability Risk: Unlisted shares cannot be assumed to have the same liquidity as listed securities. Transfer restrictions and uncertain exit timing can affect value.
- The Data Consistency Risk: Using projections, market multiples, transaction evidence, and balance sheet data from inconsistent dates can weaken the valuation conclusion.
- The Biz Valuations Solution We deliver purpose-specific valuation reports with detailed capital structure analysis, share-right mapping, suitable methodologies, market support, sensitivity testing, and signed documentation.
What Is Shares and Securities Valuation?
Shares and securities valuation is the process of determining the fair value, fair market value, transaction value, or financial reporting value of an ownership or investment instrument as of a specific valuation date.
The scope may include equity shares, preference shares, debentures, bonds, convertible securities, warrants, options, or other instruments carrying financial and ownership rights.
The valuation considers the issuer’s financial position, expected performance, assets, liabilities, capital structure, contractual rights, market conditions, risk, liquidity, and the purpose for which the report is required.
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Equity Shares vs Preference Shares vs Debt Securities
| Basis | Equity Shares | Preference Shares | Debt Securities |
|---|---|---|---|
| Primary nature | Residual ownership interest | Priority ownership or hybrid interest | Contractual lending instrument |
| Return | Dividend and capital appreciation | Fixed or participating dividend and capital appreciation | Interest, coupon, or redemption return |
| Repayment obligation | No fixed repayment in ordinary circumstances | May include redemption depending on terms | Principal is generally repayable |
| Liquidation priority | Paid after senior claims | Paid before ordinary equity | Paid before shareholders |
| Voting rights | Usually carries voting rights | May have limited or conditional voting rights | Generally no ownership voting rights |
| Key value drivers | Business growth, profitability, cash flow, risk, and residual value | Dividend, redemption, conversion, participation, and liquidation rights | Interest rate, maturity, credit risk, security, and market yield |
| Common methods | DCF, market multiples, NAV, and transaction approach | Yield method, DCF, option pricing, and hybrid allocation | Discounted cash flow and market yield approach |
| Main valuation risk | Forecast and equity allocation risk | Incorrect treatment of contractual rights | Incorrect yield or credit risk assessment |
Key Inputs in Shares and Securities Valuation
When Do You Need FEMA/FDI Valuation?
Who Needs Shares and Securities Valuation?
Startups and Founder-Led Companies
For funding rounds, founder transfers, investor entry, preference share issues, ESOPs, bridge financing, and secondary transactions.
Private and Unlisted Companies
For preferential allotments, share transfers, buybacks, capital reductions, restructuring, taxation, and statutory compliance.
Listed Companies
For preferential issues, acquisitions, schemes of arrangement, investment valuation, corporate actions, and regulatory support.
CFOs and Finance Heads
For fair value reporting, investment accounting, capital structure analysis, audit support, transaction execution, and board decisions.
Promoters and Shareholders
For stake sales, family settlements, succession planning, shareholder exits, dispute resolution, and ownership restructuring.
PE, VC and Strategic Investors
For entry pricing, portfolio valuation, conversion analysis, exit planning, secondary transactions, and investment reporting.
Legal, Tax and Transaction Advisors
For transaction documentation, regulatory filings, tax positions, negotiations, due diligence, and dispute support.
Banks, NBFCs and Lenders
For collateral review, conversion of debt, stressed asset transactions, restructuring, and security value assessment.
Benefits of Professional Shares and Securities Valuation
Valuation Approaches and Methodologies
- Discounted Cash Flow Method: Values the company or security based on projected cash flows, discount rates, terminal value, contractual payments, and future earning capacity.
- Comparable Company Method: Uses valuation multiples of listed companies with adjustments for differences in size, growth, profitability, business model, and risk.
- Comparable Transaction Method: Reviews valuation multiples and prices observed in acquisitions, fundraising rounds, secondary transfers, and similar security transactions.
- Net Asset Value Method: Determines value based on the adjusted fair value of assets and liabilities, particularly for holding, investment, and asset-heavy companies.
- Market Price Method: Uses quoted prices and trading information for listed securities, subject to liquidity, trading volume, unusual movements, and transaction purpose.
- Yield Method: Values preference shares, bonds, debentures, and fixed-return securities based on expected cash flows and an appropriate market yield.
- Option Pricing Method: Used for warrants, conversion features, contingent securities, preference rights, and instruments with optional payoffs.
- Probability-Weighted Method: Values securities where outcomes depend on funding, conversion, exit, default, milestone, or other future events.
- Sum-of-the-Parts Method:Separately values business divisions, subsidiaries, investments, and non-operating assets before determining the total equity value.
- Hybrid Method: Combines multiple methods where no single approach fully captures the business, security rights, and transaction circumstances.
Regulatory Framework for Shares and Securities Valuation
Our Shares and Securities Valuation Process
1
Engagement Scoping
We define the security, valuation purpose, standards, date, transaction context, users, and reporting needs.
2
Data Review
We gather financial data, projections, capital structure, agreements, rights, and relevant market information.
3
Business Analysis
We assess business performance, risks, security terms, and select suitable valuation methodologies.
4
Value Assessment
We apply models, determine value allocation, test sensitivities, and make required adjustments.
5
Report Delivery
We deliver the valuation report with assumptions, calculations, evidence, rationale, and conclusion.
Documents Required for Shares and Securities Valuation
What You Receive: Shares and Securities Valuation
Executive Summary
Overview of the issuer, security, valuation purpose, valuation date, applicable framework, and concluded value.
Business and Industry Analysis
Review of the business model, financial performance, market position, industry conditions, risks, and value drivers.
Capital Structure Analysis
Details of equity, preference shares, debt, convertibles, warrants, ESOPs, dilution, and rights attached to each security class.
Methodology Rationale
Explanation of the selected valuation approach and why it is appropriate for the business, security, and valuation purpose.
Detailed Valuation Workings
Enterprise value, equity value, debt and cash adjustments, yield calculations, option models, and per-security value.
Share Allocation Analysis
Treatment of liquidation preference, dividend priority, conversion, redemption, participation, voting, and transfer rights.
Market and Transaction Evidence
Comparable multiples, market prices, funding rounds, secondary transactions, yields, and other external benchmarks.
Sensitivity and Scenario Analysis
Impact of changes in projections, discount rates, multiples, yields, conversion outcomes, and other material assumptions.
Compliance Statement
Information reliance, limitations, report users, regulatory purpose, standards, assumptions, and conclusion.
Why Choose Biz Valuations?
- IBBI Registered Valuer and Category-I Merchant Banker: Our reports provide credibility for boards, auditors, investors, lenders, and regulators.
- Full-Spectrum Security Coverage: We value equity shares, preference shares, debentures, bonds, convertibles, warrants, options, and other financial securities.
- Deep Capital Structure Expertise:We understand how liquidation rights, conversion terms, redemption, dilution, seniority, and investor protections affect security value.
- Purpose-Specific Valuation Reports: Every report is aligned with the transaction, applicable regulation, valuation date, standard of value, and intended user.
- Integrated Business and Instrument Analysis: We combine business valuation with security-level analysis rather than relying only on a headline enterprise value.
- 15+ Years Across 35+ Industries: Proven experience delivering valuations for startups, private companies, listed companies, and investors.
Our Clients
Serving 35+ Industries with Trusted Valuations
Where Our Shares and Securities Valuation Applies
Startups and VC-Backed Companies
Equity funding, CCPS, CCDs, convertible notes, warrants, founder transfers, ESOPs, secondary sales, and investor exits.
Technology, SaaS and Digital Businesses
High-growth equity valuation, recurring-revenue models, preference rights, option pools, investor securities, and funding transactions.
Manufacturing and Industrial Groups
Share transfers, preference capital, secured debentures, group restructuring, succession planning, and strategic investments.
Financial Services and Fintech
Equity shares, subordinated securities, preference shares, convertible instruments, investment portfolios, and regulatory capital interests.
Pharmaceuticals and Life Sciences
Funding rounds, strategic investments, licensing-linked securities, shareholder transfers, acquisitions, and group reorganizations.
Consumer, Retail and FMCG Businesses
Brand-led company valuation, promoter transactions, investor entry, family settlements, ownership restructuring, and strategic planning support.
Infrastructure, Energy and Real Estate
Project company shares, holding-company securities, debentures, convertible instruments, investment interests, and group transfers.
Family-Owned and Promoter Groups
Succession, inheritance, family settlements, shareholder exits, internal transfers, holding-company restructuring, and dispute resolution.
Know Your Worth, Grow Your Business.
Don't leave your business value to guess work. Whether you are negotiating a merger, planning an exit, or filing statutory returns, you need a number you can trust.
- Registered Valuer Reports
- Trusted Across 3,500+ Projects
- Cat-I Merchant Banker Valuation reports
- 409A Valuation reports certified by ABV®, ASA, CVA®, MRICS
Frequently Asked Questions
1What is shares and securities valuation?
Shares and securities valuation determines the fair value or fair market value of equity shares, preference shares, debentures, bonds, convertibles, warrants, and other financial instruments.
2When is share valuation required?
Share valuation may be required for issue, transfer, fundraising, acquisition, buyback, capital reduction, restructuring, FEMA, tax, accounting, shareholder exit, or dispute purposes.
3How are unlisted shares valued?
Unlisted shares are commonly valued using DCF, comparable company multiples, transaction evidence, NAV, or a combination of methods based on the company and valuation purpose.
4Is face value the same as fair value?
No. Face value is the nominal value stated in the company’s share capital records. Fair value reflects the company’s business value, assets, liabilities, prospects, risk, and shareholder rights.
5How are preference shares valued?
Preference shares are valued by considering dividends, redemption, conversion, liquidation preference, participation, maturity, market yield, and other contractual rights.
6How are debentures and bonds valued?
Debentures and bonds are generally valued by discounting expected interest and principal payments using a market yield that reflects maturity, security, credit risk, and liquidity.
7Can different share classes have different values?
Yes. Different classes may carry different voting, dividend, liquidation, conversion, redemption, participation, and transfer rights, resulting in different per-share values.
8Who can issue a share valuation report under the Companies Act?
Where valuation is required under the Companies Act, the report must generally be issued by a registered valuer in the appropriate asset class.
9Is a merchant banker required for FEMA or tax valuation?
The required valuation professional depends on the purpose, transaction, instrument, and applicable provision. Certain tax and cross-border transactions may require merchant banker support.
10What documents are needed for share valuation?
Typical documents include financial statements, projections, cap table, shareholder agreements, security terms, transaction documents, debt details, and recent funding or transfer information.
11How long does a shares and securities valuation take?
A standard engagement generally takes 5 to 7 business days after complete information is received. Multi-class, regulatory, cross-border, or complex security valuations may take longer.
12Is the initial consultation free?
Yes. We offer a complimentary consultation to understand the security, valuation purpose, applicable framework, available documents, and expected timeline.
