Description

BSE circular outlining surveillance measures for companies under insolvency resolution process with stage classifications effective August 8, 2025.

Summary

BSE has issued surveillance measures for securities under the Insolvency and Bankruptcy Code (IBC) framework, categorizing companies into different stages based on their insolvency resolution status. The measures include Additional Surveillance Measure (ASM) classifications effective August 8, 2025.

Key Points

  • Axis Solutions Ltd (Scrip Code: 511144) moved to Stage 1 under IBC surveillance
  • No securities moved to Stage 0 (receipt of corporate announcement/disclosure)
  • No securities moved from Stage II to Stage I or vice versa
  • No securities excluded from ASM for IBC companies
  • Consolidated list includes 14+ companies under various IBC stages

Regulatory Changes

  • Implementation of staged surveillance framework for IBC companies
  • Stage 0: Receipt of corporate announcement/disclosure from company
  • Stage 1: Additional Surveillance Measure for companies in Insolvency Resolution Process
  • Stage 2: Higher level of surveillance (progression from Stage 1)

Compliance Requirements

  • Companies under IBC proceedings subject to enhanced surveillance
  • Securities marked with special indicators for T+0 scrips under parent company IBC framework
  • Coordination with NSE for unified surveillance approach

Important Dates

  • August 8, 2025: Effective date for all surveillance measure changes
  • Ongoing monitoring of companies under IBC proceedings

Impact Assessment

  • Enhanced monitoring of distressed companies protects investor interests
  • Staged approach allows graduated surveillance based on insolvency status
  • Limited immediate impact with only one security (Axis Solutions) moving to Stage 1
  • Provides transparency on companies undergoing insolvency resolution

Impact Justification

Affects companies under IBC proceedings with staged surveillance measures