Description

BSE announces securities moving out of the high encumbrance framework effective September 1, 2025, with two companies being removed from surveillance measures.

Summary

BSE has updated the surveillance framework for companies with high promoter and non-promoter encumbrance under SEBI SAST Regulation 28(3). Two securities are being removed from the surveillance measure effective September 1, 2025, while no new securities are being added. The consolidated list now contains 5 securities under this framework.

Key Points

  • No new securities added to the high encumbrance surveillance framework
  • Two securities being removed from surveillance: Indo Tech Transformers Ltd and Steel Exchange India Ltd
  • Changes effective from September 1, 2025
  • Current framework covers companies with high promoter and non-promoter pledging/encumbrance
  • Consolidated list maintains 5 securities under surveillance

Regulatory Changes

The framework continues to monitor companies with high levels of promoter and non-promoter share encumbrance as per SEBI (Substantial Acquisition of Shares and Takeovers) Regulation 28(3). The removal of two securities indicates improved compliance or resolution of encumbrance issues.

Compliance Requirements

  • Listed companies must maintain appropriate disclosure of share encumbrance
  • Compliance with SEBI SAST Regulation 28(3) regarding promoter and non-promoter pledging
  • Regular monitoring and reporting of encumbrance levels

Important Dates

  • September 1, 2025: Effective date for removal of two securities from the surveillance framework

Impact Assessment

Low market impact as only two securities are being removed from surveillance, indicating positive resolution of encumbrance issues. The framework continues to monitor remaining 5 securities to ensure investor protection and market integrity. Companies removed from the list may see reduced regulatory scrutiny and potential positive sentiment.

Impact Justification

Routine surveillance framework adjustment affecting only two companies being removed