Description
STL Networks Limited will be excluded from multiple BSE indices including BSE SMALLCAP, BSE ALLCAP, and others effective September 11, 2025 due to demerger scheme arrangements.
Summary
BSE Index Services Private Ltd announced the exclusion of STL Networks Limited (Scrip code: 544395) from multiple BSE indices effective September 11, 2025. This action follows the company’s failure to hit the lower circuit on September 8-9, 2025, as part of the demerger scheme arrangement process.
Key Points
- STL Networks Limited (Scrip code: 544395) will be excluded from 8 BSE indices
- Exclusion effective prior to trading opening on September 11, 2025
- Decision based on company not hitting lower circuit on September 8-9, 2025
- Action follows previously announced demerger scheme arrangement process
- Corporate action included in end-of-day file (*.SDE)
Regulatory Changes
Implementation of BSE Index Services’ previously announced process (Notice No: 20250403-46) for removal of spun-off scrips from BSE Indices following demerger schemes.
Compliance Requirements
- Index fund managers need to adjust portfolios to exclude STL Networks Limited
- Market participants should note the exclusion for trading and investment strategies
- Queries can be directed to bseindex@bseindia.com
Important Dates
- September 8-9, 2025: Monitoring period for lower circuit hits
- September 11, 2025: Effective date for index exclusion (prior to market opening)
Impact Assessment
The exclusion affects investors and funds tracking the impacted indices. Index funds will need to rebalance portfolios, potentially creating selling pressure on the stock. The exclusion from 8 major indices including BSE SMALLCAP and BSE ALLCAP reduces the stock’s visibility and accessibility to passive investment flows.
Impact Justification
Index exclusion affects trading and investment strategies for index funds and investors tracking these indices