Description

BSE updates Enhanced Surveillance Measure (ESM) framework effective November 27, 2025, adding Khandelwal Extractions Ltd to Stage I ESM and providing consolidated list of securities under ESM.

Summary

BSE has issued an update to the Enhanced Surveillance Measure (ESM) framework effective November 27, 2025. One new security, Khandelwal Extractions Ltd (Scrip Code: 519064, ISIN: INE687W01010), has been shortlisted and added to Stage I ESM. No securities are moving to higher or lower ESM stages, and no securities are exiting the ESM framework. A consolidated list of 30 securities currently under various ESM stages has been provided.

Key Points

  • New Addition: Khandelwal Extractions Ltd added to ESM Stage I framework
  • Effective Date: November 27, 2025
  • No Stage Movements: No securities moving to higher or lower ESM stages
  • No Exits: No securities moving out of ESM framework
  • Consolidated List: 30 securities currently under ESM surveillance (Stages I and II)
  • Framework includes both regular securities and SME scrips (marked with #)
  • Some securities marked with asterisk (*) indicating NSE alignment

Regulatory Changes

The ESM framework continues to operate as a surveillance mechanism for securities exhibiting abnormal price movements or other concerning trading patterns. Securities under ESM are subject to enhanced monitoring and may have additional trading restrictions including:

  • Trade-to-Trade (T2T) settlement
  • Price bands
  • Additional disclosure requirements
  • Periodic surveillance reviews

Stage I represents the initial level of enhanced surveillance, with Stage II indicating more stringent monitoring.

Compliance Requirements

For Khandelwal Extractions Ltd (newly added):

  • Subject to ESM Stage I surveillance measures from November 27, 2025
  • Trading will be under enhanced monitoring
  • Company may need to provide additional disclosures as required by ESM framework

For all ESM securities:

  • Trading members must ensure compliance with applicable price bands and settlement mechanisms
  • Investors should be aware of enhanced surveillance status when trading these securities
  • Companies under ESM may need to submit periodic reports or explanations for price movements

Important Dates

  • November 27, 2025: Effective date for Khandelwal Extractions Ltd addition to ESM Stage I
  • November 27, 2025: Effective date for updated consolidated ESM list

Impact Assessment

Market Impact: Limited market-wide impact as only one security is newly added to ESM. The framework affects liquidity and trading conditions for the specific securities listed.

Investor Impact: Investors in Khandelwal Extractions Ltd should note the enhanced surveillance status, which may result in:

  • Compulsory delivery-based settlement (T2T)
  • Potential price bands or circuit filters
  • Increased scrutiny of trading activities

Operational Impact: Trading members and market participants need to update their systems to reflect ESM status for the newly added security. The consolidated list of 30 securities under ESM indicates ongoing surveillance of securities with abnormal characteristics.

Securities Under ESM Framework (Consolidated List - Sample)

The framework currently monitors 30+ securities across Stage I and Stage II, including:

  • Stage I: 28 securities (majority)
  • Stage II: 2 securities (Amit Securities Ltd, Aplab Ltd, Arunis Abode Ltd, Anirit Ventures Ltd)

Securities range across sectors including textiles, pharmaceuticals, technology, financial services, and manufacturing. The list includes both mainboard and SME segment securities.

Impact Justification

Addition of one security to ESM framework impacts trading conditions for that scrip; consolidated list of 30+ securities maintained under surveillance