Description

BSE updates the list of securities under Additional Surveillance Measure (ASM) for companies in Insolvency Resolution Process as per Insolvency and Bankruptcy Code (IBC), effective October 10, 2025.

Summary

BSE has updated the surveillance framework for securities of companies undergoing Insolvency Resolution Process (IRP) under the Insolvency and Bankruptcy Code (IBC). The circular lists securities currently in Stage 1 of Additional Surveillance Measure, with no new additions to Stage 0 or movements between stages effective October 10, 2025.

Key Points

  • Four securities remain in Stage 1 ASM for IBC: Eastern Silk Industries Ltd, Indosolar Ltd, Jaiprakash Associates Ltd, and Ujaas Energy Ltd
  • No securities newly shortlisted at Stage 0 (Receipt of corporate announcement/disclosure)
  • No securities moving from Stage I to Stage II or vice versa
  • No securities excluded from ASM-IBC framework
  • Consolidated list includes multiple securities at various IBC stages, including companies at Stage 0 (receipt of corporate announcement)

Regulatory Changes

No new regulatory changes announced. This circular provides routine update of existing IBC surveillance framework showing current status of affected securities.

Compliance Requirements

  • Market participants must be aware of securities under IBC surveillance stages
  • Trading in these securities subject to additional surveillance measures and restrictions
  • Investors should exercise caution when trading securities under IBC framework
  • Brokers and trading members must ensure compliance with surveillance requirements for these securities

Important Dates

  • Effective Date: October 10, 2025 - Updated IBC surveillance list becomes applicable

Impact Assessment

Trading Impact: Securities in Stage 1 ASM face enhanced surveillance with potential trading restrictions including price bands, volume limits, or other measures. This affects liquidity and trading dynamics for Eastern Silk Industries, Indosolar, Jaiprakash Associates, and Ujaas Energy.

Investor Impact: High-risk designation for securities under IBC process. Investors face uncertainty regarding outcome of insolvency proceedings, potential delisting, and recovery of investments.

Market Operations: Exchange implements additional monitoring and risk management measures for these securities. The consolidated list provides transparency about companies at various stages of insolvency proceedings, helping market participants assess risk exposure.

Sectoral Context: The list includes diverse sectors (textiles, solar energy, infrastructure, energy) indicating broad economic stress points requiring insolvency resolution.

Impact Justification

Securities under IBC surveillance face trading restrictions and increased monitoring, directly impacting investor decisions and market liquidity for affected stocks