Description
13 companies will be transferred to 'Z'/'MT' group from January 2, 2026 due to non-compliance with SEBI Depositories Regulations for two consecutive quarters (June 2025 & September 2025).
Summary
BSE has announced that 13 companies will be transferred to the ‘Z’/‘MT’ group effective January 2, 2026, due to non-compliance with Regulation 76 of SEBI (Depositories & Participants) Regulations, 2018 for two consecutive quarters (June 2025 and September 2025). This action is taken pursuant to SEBI Master Circular dated November 11, 2024 regarding penal actions for non-compliance with SEBI LODR Regulations, 2015. All trades in these companies will be settled on a Trade-for-Trade basis once transferred. Companies have until December 30, 2025 to comply and avoid the transfer.
Key Points
- 13 companies to be moved to ‘Z’/‘MT’ group from January 2, 2026
- Non-compliance relates to Regulation 76 of SEBI (Depositories & Participants) Regulations, 2018
- Violations recorded for two consecutive quarters: June 2025 and September 2025
- Trade-for-Trade settlement will apply to all scrips in ‘Z’/‘MT’ group
- 25 additional companies already in ‘Z’/‘MT’ group for same violations
- Compliance deadline: December 30, 2025 to avoid transfer
Regulatory Changes
This circular implements penal measures under SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, which prescribes penal actions for non-compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The action follows the Standard Operating Procedure for suspension and revocation of trading of specified securities of listed entities.
Compliance Requirements
For Listed Companies:
- Must comply with Regulation 76 of SEBI (Depositories & Participants) Regulations, 2018
- Deadline to rectify non-compliance: December 30, 2025
- Failure to comply will result in transfer to ‘Z’/‘MT’ group
For Market Participants:
- All trades in affected scrips will be on Trade-for-Trade basis once transferred
- No intraday trading or carry forward positions allowed
- Queries should be directed to bse.soplodr@bseindia.com
Important Dates
- December 22, 2025: Notice date
- December 30, 2025: Last date for companies to comply and avoid transfer
- January 2, 2026: Effective date for transfer to ‘Z’/‘MT’ group
Companies Affected
Companies Being Transferred (13 companies):
- Brightcom Group Ltd (532368)
- Future Consumer Ltd (533400)
- Gala Global Products Ltd (539228)
- IND Renewable Energy Ltd (536709)
- Master Chemicals Ltd (506867)
- Mediaone Global Entertainment Ltd (503685)
- Mega Fin India Ltd (532105)
- Naksh Precious Metals Ltd (539402)
- Naturo Indiabull Ltd (543579)
- Pradhin Ltd (530095)
- Rajesh Exports Ltd (531500)
- Unitech International Ltd (531867)
- Vardhman Concrete Ltd (531444)
Companies Already in ‘Z’/‘MT’ Group (25 companies):
AGS Transact Technologies Ltd, Ankit Metal & Power Ltd, Arshiya Ltd, Diksha Greens Ltd, Future Enterprises Ltd, Future Lifestyle Fashions Ltd, Gensol Engineering Ltd, Housing Development and Infrastructure Ltd, Impex Ferro Tech Ltd, Inditrade Capital Ltd, Jaybharat Textiles and Real Estate Ltd, K-Lifestyle & Industries Ltd, Lakshmi Precision Screws Ltd, Morarjee Textiles Ltd, National Plywood Industries Ltd, Omkar Speciality Chemicals Ltd, Ortel Communications Ltd, Polo Hotels Ltd, Rajvir Industries Ltd, Reliance Home Finance Ltd, Setubandhan Infrastructure Ltd, Silveroak Commercials Ltd, SKIL Infrastructure Ltd, Spectra Industries Ltd, Vikas Proppant & Granite Ltd
Impact Assessment
Liquidity Impact: Transfer to ‘Z’/‘MT’ group severely restricts trading as all transactions must be settled on Trade-for-Trade basis, eliminating intraday trading opportunities and significantly reducing liquidity.
Investor Impact: Existing shareholders face reduced exit options and higher price volatility due to restricted trading mechanism. No margin trading or carry forward positions allowed.
Market Perception: Classification in ‘Z’/‘MT’ group signals regulatory non-compliance, potentially triggering further selling pressure and institutional divestment.
Operational Impact: Brokers and trading members must adjust their systems to handle Trade-for-Trade settlement for these scrips, affecting operational workflows.
Regulatory Trend: 38 total companies affected (13 new + 25 existing) indicates widespread non-compliance with depositories regulations, suggesting need for enhanced corporate governance monitoring.
Impact Justification
13 companies face transfer to restrictive 'Z'/'MT' group with trade-for-trade settlement, severely impacting liquidity. Additional 25 companies already in Z/MT group for same violations. Regulatory action based on consecutive quarter non-compliance.