Description

BSE announces movement of three securities into their respective GSM stages - Kachchh Minerals to Stage I, Rajkamal Synthetics and Bijoy Hans to Stage III.

Summary

BSE has moved three securities into different stages of the Graded Surveillance Measure (GSM) framework. Kachchh Minerals Ltd (Security Code: 531778, ISIN: INE059E01010) has been moved to GSM Stage I. Rajkamal Synthetics Ltd (Security Code: 514028, ISIN: INE376L01013) and Bijoy Hans Ltd (Security Code: 524723, ISIN: INE491D01017) have been moved to GSM Stage III.

Key Points

  • Kachchh Minerals Ltd moved to GSM Stage I
  • Rajkamal Synthetics Ltd moved to GSM Stage III
  • Bijoy Hans Ltd moved to GSM Stage III
  • Securities marked (#) move to lower GSM stages due to inclusion in ESM Framework
  • Securities marked ($) move to lower GSM stages due to inclusion in IBC Framework
  • Classification references NSE standards (marked with *)

Regulatory Changes

The movement of securities into different GSM stages triggers specific surveillance and trading restrictions:

  • Stage I: Initial level of surveillance with basic monitoring
  • Stage III: Higher level of surveillance with more stringent trading restrictions including potential additional disclosure requirements, price bands, and trading frequency limitations

Securities can move to lower GSM stages if they are included in Enhanced Surveillance Measure (ESM) Framework or Insolvency and Bankruptcy Code (IBC) Framework.

Compliance Requirements

  • Investors trading in GSM Stage III securities (Rajkamal Synthetics and Bijoy Hans) must be aware of enhanced surveillance conditions
  • Brokers must ensure compliance with additional margin requirements and trading restrictions applicable to GSM Stage III securities
  • Listed companies must maintain compliance with disclosure norms under GSM framework

Important Dates

  • Circular Date: October 6, 2025
  • Effective Date: As per BSE notification (typically immediate or next trading day)

Impact Assessment

Market Impact: Medium - The movement affects liquidity and trading conditions for three specific securities. Stage III classification significantly restricts trading activity through additional margins and monitoring.

Investor Impact: Investors holding or trading these securities will face:

  • Increased margin requirements for Stage III securities
  • Potential reduction in liquidity
  • Additional risk disclosures required before trading
  • Possible price volatility due to changed trading conditions

Operational Impact: Brokers and market participants need to update their systems to reflect the new GSM stage classifications and implement appropriate risk controls and margin requirements for affected securities.

Impact Justification

Movement of securities into GSM stages affects trading conditions and investor accessibility for these specific stocks, with Stage III having more stringent restrictions than Stage I