Description

BSE announces changes to Long Term ASM Framework effective December 26, 2025, including addition of new securities and movement of existing securities across ASM stages.

Summary

BSE has issued updates to the Long Term Additional Surveillance Measure (LT-ASM) Framework effective December 26, 2025. Two new securities have been shortlisted into the framework, one security has been moved to a higher ASM stage, and one security is exiting the framework. The LT-ASM framework applies enhanced surveillance and trading restrictions to securities exhibiting certain risk characteristics over an extended period.

Key Points

  • 2 new securities added to Long Term ASM Framework: Cupid Breweries And Distilleries Ltd (Scrip Code: 512361) and West Leisure Resorts Ltd (Scrip Code: 538382)
  • Espire Hospitality Limited (Scrip Code: 532016) moved from existing stage to Stage II ASM
  • CDG Petchem Ltd (Scrip Code: 534796) removed from Long Term ASM Framework
  • No securities moved to lower ASM stages
  • No securities directly moved to Stage IV under the Direct Stage IV provision
  • Consolidated list includes multiple securities across ASM Stages I, II, and IV

Regulatory Changes

The circular implements periodic review updates to the Long Term ASM Framework as per existing BSE surveillance policies. Securities in LT-ASM are subject to additional monitoring and may have trading restrictions including reduced price bands, 100% margin requirements, or periodic call auctions depending on the ASM stage.

Compliance Requirements

  • Trading members must inform clients about securities under LT-ASM framework
  • Enhanced margin requirements apply to securities in different ASM stages
  • Investors should be aware of applicable trading restrictions on these securities
  • Market participants must comply with stage-specific surveillance measures

Important Dates

  • Effective Date: December 26, 2025 - All changes to LT-ASM framework become applicable

Impact Assessment

The addition of 2 new securities to LT-ASM and movement of 1 security to higher surveillance stage indicates BSE’s ongoing risk monitoring. Investors holding Cupid Breweries, West Leisure Resorts, or Espire Hospitality should expect enhanced surveillance measures including potential trading restrictions. The removal of CDG Petchem from the framework provides relief for that security. Overall market impact is limited given the small number of affected securities, but individual stock liquidity and investor sentiment may be affected for the listed companies.

Impact Justification

Affects specific securities under enhanced surveillance but limited number of stocks impacted. Important for investors holding these securities as trading restrictions apply.