Description
BSE announces changes to Enhanced Surveillance Measure framework including new securities entering ESM, securities moving to higher/lower stages, and consolidated list of all securities under ESM effective October 15, 2025.
Summary
BSE has announced updates to the Enhanced Surveillance Measure (ESM) framework effective October 15, 2025. Three new securities are being added to ESM: Candour Techtex Ltd, Cubical Financial Services Ltd, and Dharani Finance Ltd. Additionally, three securities (Shree Krishna Paper Mills & Industries Ltd, Systematix Securities Ltd, and Women Networks Ltd) will be moved to higher ESM stages. No securities are moving to lower ESM stages or exiting the framework. The circular includes a consolidated list of 26+ securities currently under ESM with their respective stage classifications.
Key Points
- 3 new securities entering Enhanced Surveillance Measure framework: Candour Techtex Ltd (522292), Cubical Financial Services Ltd (511710), and Dharani Finance Ltd (511451)
- 3 securities moving to higher ESM stages: Shree Krishna Paper Mills & Industries Ltd (500388), Systematix Securities Ltd (531432), and Women Networks Ltd (531396)
- No securities moving to lower ESM stages
- No securities exiting the ESM framework
- Consolidated list includes securities across different ESM stages (Stage I and Stage II)
- Changes effective from October 15, 2025
Regulatory Changes
The Enhanced Surveillance Measure framework continues to apply staged surveillance on securities based on market behavior and compliance issues. Securities can move between stages based on their performance and adherence to regulatory requirements. The framework includes provisions for:
- Entry of new securities into ESM based on surveillance parameters
- Movement between ESM stages (higher or lower) based on ongoing assessment
- Exit from ESM framework when moving to SMP Framework or IBC Framework
- Trade-for-trade segment applicability for certain securities
Compliance Requirements
- Trading members must ensure awareness of ESM classifications for affected securities
- Enhanced margin requirements and trading restrictions apply to securities under ESM
- Securities in ESM are subject to trade-for-trade settlement (no intraday squaring off)
- Price bands and additional surveillance measures apply as per ESM stage
- Investors must be informed about ESM status before trading in these securities
Important Dates
- October 15, 2025: Effective date for all ESM framework changes including new entries, stage movements, and consolidated list
Impact Assessment
Market Impact: The addition of three new securities to ESM and movement of three securities to higher stages will result in reduced liquidity and trading volumes for these stocks. Trade-for-trade requirements limit intraday trading activity.
Investor Impact: Investors holding or trading these securities will face enhanced margin requirements and cannot perform intraday trades. Higher ESM stages indicate increased regulatory scrutiny and potential risks.
Operational Impact: Brokers and trading members need to update their systems to reflect ESM classifications, communicate changes to clients, and ensure compliance with enhanced surveillance requirements including margin collection and settlement processes.
Annexure Details
Annexure I - Part A: New Entries and Stage Movements
Securities entering ESM:
- Candour Techtex Ltd (522292, INE713D01055)
- Cubical Financial Services Ltd (511710, INE717D01023)
- Dharani Finance Ltd (511451, INE899D01011)
Securities moving to higher ESM stages:
- Shree Krishna Paper Mills & Industries Ltd (500388, INE970C01012)
- Systematix Securities Ltd (531432, INE07P301011)
- Women Networks Ltd (531396, INE905B01010)
Annexure II - Securities Exiting ESM
Nil - No securities are exiting the Enhanced Surveillance Measure framework in this update.
Annexure III - Consolidated List
The consolidated list includes 26+ securities under various ESM stages (Stage I and Stage II), including companies like A2Z Infra Engineering Ltd, AA Plus Tradelink Ltd, AAA Technologies Ltd, Aarey Drugs & Pharmaceuticals Ltd, and others. The list provides complete details including scrip codes, ISIN numbers, and current ESM stage classifications.
Impact Justification
Affects specific securities under enhanced surveillance with trading restrictions. Three new securities entering ESM and three moving to higher stages impacts liquidity and trading for these stocks. Regular operational circular affecting limited number of securities.