Description

BSE updates the list of securities under Enhanced Surveillance Measure framework, with 6 new securities added and 1 security moved to higher ESM stage effective December 26, 2025.

Summary

BSE has updated the Enhanced Surveillance Measure (ESM) framework effective December 26, 2025. Six new securities have been shortlisted for inclusion in the ESM framework, and one security (RDB Real Estate Constructions Ltd) will be moved to a higher ESM stage. No securities are being moved to lower ESM stages or exiting the framework at this time. The consolidated list includes 26+ securities across various ESM stages.

Key Points

  • 6 new securities added to ESM framework: CDG Petchem Ltd, Galada Power & Telecommunication Ltd, Lyons Corporate Market Ltd, Mega Nirman and Industries Ltd, SC Agrotech Ltd, and Silver Oak India Ltd
  • RDB Real Estate Constructions Ltd moved to higher ESM stage
  • No securities moved to lower ESM stage or exiting ESM framework
  • Changes effective from December 26, 2025
  • Consolidated list includes securities in Stage I and Stage II surveillance

Regulatory Changes

The ESM framework applies enhanced surveillance and monitoring to securities that exhibit abnormal price movements or other market integrity concerns. Securities under ESM are subject to:

  • Trade-for-trade settlement (no intraday trading)
  • 100% upfront margin requirements
  • Additional disclosure requirements
  • Staged escalation based on continued surveillance triggers

Compliance Requirements

  • Trading members must ensure compliance with ESM framework restrictions for listed securities
  • 100% upfront margins to be collected from clients for ESM securities
  • Trade-for-trade settlement mandatory - no intraday squaring off permitted
  • Enhanced monitoring and reporting requirements for transactions in ESM securities

Important Dates

  • Effective Date: December 26, 2025 - ESM framework changes come into effect

Impact Assessment

Market Impact: Medium - affects liquidity and trading activity in 7 securities (6 new additions and 1 upgrade). Investors holding these stocks will face stricter trading conditions including 100% margin requirements and trade-for-trade settlement.

Investor Impact: Investors in affected securities will experience reduced liquidity, higher capital requirements for trading, and inability to conduct intraday trades. Existing positions remain unaffected but new trades face enhanced restrictions.

Operational Impact: Trading members must update systems to enforce ESM restrictions, collect full upfront margins, and ensure trade-for-trade settlement for all listed securities effective December 26, 2025.

Impact Justification

Affects trading conditions for specific securities under heightened surveillance, impacting investors holding these stocks with stricter monitoring and potential trading restrictions