Description
BSE announces downward revision of GSM stages for 56 securities across various groups, with companies moving from higher surveillance stages to lower stages.
Summary
BSE has announced the downward revision of Graded Surveillance Measure (GSM) stages for 56 securities effective October 10, 2025. The securities are being moved to lower surveillance stages, indicating improved compliance or market behavior. The revisions include 7 securities moving from Stage 1 to Stage 0 (complete removal from GSM), 19 securities moving from Stage 2 to Stage 1, 10 securities moving from Stage 3 to Stage 2, 19 securities moving from Stage 4 to Stage 3, and 1 security (Aviva Industries Ltd) moving from Stage 3 to Stage 4.
Key Points
- 56 securities are being moved to lower GSM stages
- 7 securities are being completely removed from GSM (Stage 0)
- 19 securities are moving from Stage 2 to Stage 1
- 10 securities are moving from Stage 3 to Stage 2
- 19 securities are moving from Stage 4 to Stage 3
- 1 security (Aviva Industries Ltd) is being moved to a higher stage (Stage 3 to Stage 4)
- Affected securities are across multiple groups including X, Z, B, T, XT, P, and ZP
- Lower GSM stages generally indicate reduced surveillance requirements and trading restrictions
Regulatory Changes
The Graded Surveillance Measure (GSM) framework applies differential surveillance and trading restrictions based on concerns related to price volatility, corporate governance issues, or other market integrity concerns. The downward revision indicates that BSE has determined these securities no longer require the same level of surveillance oversight.
Key stage transitions:
- Stage 1 to Stage 0: Complete removal from GSM framework (7 securities)
- Stage 2 to Stage 1: Reduced surveillance requirements (19 securities)
- Stage 3 to Stage 2: Further easing of restrictions (10 securities)
- Stage 4 to Stage 3: Lower surveillance level (19 securities)
Compliance Requirements
- Listed companies whose securities are being downgraded to lower GSM stages should inform their stakeholders
- Trading members should update their systems to reflect the revised GSM stages
- Investors should note the changed surveillance status when trading these securities
- Companies should maintain compliance standards to avoid future upward revision of GSM stages
Important Dates
- Effective Date: October 10, 2025
- The revised GSM stages are applicable with immediate effect from the announcement date
Impact Assessment
Positive Impacts:
- Reduced trading restrictions for 55 securities moving to lower GSM stages
- Lower additional surveillance deposit (ASD) requirements for buyers
- Improved market perception and potentially better liquidity
- Signals regulatory confidence in improved compliance or market behavior
- May lead to increased investor interest due to lower perceived risk
Negative Impact:
- Aviva Industries Ltd faces increased surveillance with movement from Stage 3 to Stage 4
Market Impact:
- Overall positive development indicating improved market quality for affected securities
- May result in reduced volatility and improved price discovery
- Lower transaction costs for investors trading these securities
Detailed Security List
Stage 1 to Stage 0 (Complete GSM Removal)
- Aayush Wellness Ltd (539528)
- Amit International Ltd (531300)
- Decorous Investment & Trading Co Ltd (539405)
- Emami Realty Ltd (533218)
- Ortel Communications Ltd (539015)
- OTCO International Ltd (523151)
- V R Films & Studios Ltd (542654)
Stage 2 to Stage 1
19 securities including Ace Engitech Ltd, Ecoboard Industries Ltd, Gravity India Ltd, Hindustan Fluorocarbons Ltd, and others.
Stage 3 to Stage 2
10 securities including Adhata Global Ltd, ANS Industries Ltd, GSL Securities Ltd, and others.
Stage 4 to Stage 3
19 securities including ACE Edutrend Ltd, Adline Chem Lab Ltd, Ashoka Refineries Ltd, and others.
Stage 3 to Stage 4 (Increased Surveillance)
- Aviva Industries Ltd (512109)
Impact Justification
Affects 56 securities with reduced surveillance requirements, indicating improved compliance or market behavior. Positive development for affected companies but limited broader market impact.