Description

BSE circular detailing securities being added to, moved within, or removed from the Long Term Additional Surveillance Measure framework effective October 14, 2025.

Summary

BSE has issued an updated list of securities subject to the Long Term Additional Surveillance Measure (LT-ASM) framework effective October 14, 2025. The circular identifies securities being newly added to LT-ASM Stage I, one security moving directly to Stage IV, and provides a consolidated list of all securities currently under the framework. No securities are being moved out of the framework in this update.

Key Points

  • 2 securities newly shortlisted for LT-ASM Stage I: Akshar Spintex Ltd (541303) and Skyline Millars Ltd (505650)
  • 1 security moved directly to LT-ASM Stage IV: Kothari Industrial Corporation Ltd (509732)
  • No securities moving to higher stages within the framework
  • No securities moving to lower stages within the framework
  • No securities being removed from the LT-ASM framework
  • Consolidated list includes securities across multiple ASM stages with detailed scrip codes and ISIN numbers

Regulatory Changes

The LT-ASM framework continues to apply enhanced surveillance measures to securities meeting specific criteria related to trading patterns, price movements, or other risk indicators. Securities in this framework are subject to additional monitoring and trading restrictions based on their assigned stage (I through IV).

Compliance Requirements

  • Trading members must comply with the surveillance measures applicable to securities listed in the LT-ASM framework
  • Enhanced due diligence requirements apply for transactions in these securities
  • Brokers must ensure clients are aware of the surveillance status of these securities
  • Additional margin requirements and price bands may apply based on the ASM stage

Important Dates

  • Effective Date: October 14, 2025 - New LT-ASM classifications come into effect

Impact Assessment

Market Impact: The addition of securities to the LT-ASM framework typically results in reduced liquidity and trading volumes due to enhanced surveillance measures. Investors may face additional restrictions or requirements when trading these securities.

Operational Impact: Trading members must update their systems and risk management frameworks to reflect the new surveillance classifications. The direct placement of Kothari Industrial Corporation Ltd into Stage IV indicates significant surveillance concerns.

Investor Impact: Shareholders of affected securities may experience reduced liquidity and potentially higher transaction costs. The surveillance designation may also impact investor sentiment and valuations.

Impact Justification

Affects specific securities under surveillance framework with trading restrictions, impacting liquidity and investor access for listed companies