Description
BSE updates Enhanced Surveillance Measure framework with securities moving in, out, and between ESM stages effective December 29, 2025.
Summary
BSE has announced changes to the Enhanced Surveillance Measure (ESM) framework effective December 29, 2025. No new securities are being added to ESM, while 27 securities are exiting the framework entirely. Additionally, 3 securities are moving to higher ESM stages and 11 securities are moving to lower ESM stages, reflecting changes in their surveillance risk profiles.
Key Points
- No new additions: Zero securities are being newly shortlisted under ESM framework
- 27 securities exiting ESM: Companies like Emkay Global Financial Services, Virinchi Ltd, and 25 others are being removed from enhanced surveillance
- 3 securities moving to higher ESM stages: Esha Media Research, Mercury Trade Links, and Naturo Indiabull will face stricter surveillance
- 11 securities moving to lower ESM stages: Including Arunis Abode, Checkpoint Trends, Classic Filaments, and 8 others
- SME scrips included: Several SME segment securities are part of these changes
- Effective date: All changes take effect from December 29, 2025
Securities Movements
Moving to Higher ESM Stages (3 securities)
- Esha Media Research Ltd (531259)
- Mercury Trade Links Ltd (512415)
- Naturo Indiabull Ltd# (543579) - SME scrip
Moving to Lower ESM Stages (11 securities)
- Arunis Abode Ltd (526935)
- Checkpoint Trends Ltd (531099)
- Classic Filaments Ltd (540310)
- CMX Holdings Ltd (532217)
- GSB Finance Ltd (511543)
- Hindustan Appliances Ltd (531918)
- Jetmall Spices and Masala Ltd# (543286) - SME scrip
- Prerna Infrabuild Ltd (531802)
- Ramchandra Leasing & Finance Ltd (538540)
- Synthiko Foils Ltd (513307)
- UTL Industries Ltd (500426)
Exiting ESM Framework (27 securities)
Includes Abram Food Ltd, Anlon Healthcare Ltd, Artificial Electronics Intelligent Material Ltd, BGIL Films & Technologies Ltd, Brand Concepts Ltd, Caspian Corporate Services Ltd, Emkay Global Financial Services Ltd, Emmforce Autotech Ltd, Explicit Finance Ltd, Incap Ltd, Integrated Industries Ltd, Intense Technologies Ltd, Jainco Projects India Ltd, KMF Builders & Developers Ltd, Maitri Enterprises Ltd, Neo Infracon Ltd, Odigma Consultancy Solutions Ltd, Onesource Industries And Ventures Ltd, Ramsons Projects Ltd, Safa Systems & Technologies Ltd, Southern Latex Ltd, Sunshine Capital Ltd, Toyam Sports Ltd, United Van Der Horst Ltd, Vaishno Cement Company Ltd, Vaxfab Enterprises Ltd, and Virinchi Ltd.
Regulatory Changes
The ESM framework continues to be dynamically adjusted based on surveillance parameters. Securities can:
- Enter ESM framework when surveillance concerns arise
- Move between ESM stages based on risk assessment
- Exit ESM when concerns are adequately addressed or when moved to other frameworks (SMP, IBC)
Compliance Requirements
- For listed companies: Securities moved to higher ESM stages will face stricter surveillance and potential additional disclosure requirements
- For investors: Trading in ESM securities may involve additional margins, price bands, or trade-for-trade requirements depending on the ESM stage
- For brokers: Update surveillance systems to reflect new ESM classifications and ensure appropriate client communication
Important Dates
- Effective Date: December 29, 2025 - All ESM changes become applicable
- Circular Date: December 26, 2025
Impact Assessment
Positive Impact: 27 securities exiting ESM will likely see improved liquidity and reduced trading restrictions, potentially positive for stock prices and investor sentiment. 11 securities moving to lower ESM stages will face reduced surveillance pressure.
Negative Impact: 3 securities moving to higher ESM stages will face stricter surveillance measures, potentially including higher margins, reduced liquidity, and negative investor sentiment.
Market Integrity: The ESM framework adjustments reflect BSE’s ongoing efforts to maintain market integrity while allowing securities to graduate out of enhanced surveillance when appropriate. The net reduction in ESM-listed securities (27 exits vs 0 new entries) suggests improving market conditions for previously flagged securities.
Impact Justification
Affects trading conditions for 41 securities across ESM framework with potential liquidity and price impact for investors holding these stocks