Description
BSE circular detailing securities being added to, moved between stages, and removed from the Enhanced Surveillance Measure (ESM) framework effective January 6, 2026.
Summary
BSE has issued updates to the Enhanced Surveillance Measure (ESM) framework effective January 6, 2026. The circular identifies securities being newly added to ESM, those moving to higher or lower ESM stages, and securities exiting the framework. The ESM framework is a surveillance mechanism applied to securities exhibiting abnormal price movements or other concerns requiring enhanced monitoring.
Key Points
- 2 securities newly shortlisted for ESM framework: Bodhtree Consulting Ltd (539122) and Vision Cinemas Ltd (526441)
- 5 securities moving to higher ESM stages: CDG Petchem Ltd, Mahamaya Steel Industries Ltd, Mega Nirman and Industries Ltd, Regal Entertainment & Consultants Ltd, and SC Agrotech Ltd
- No securities moving to lower ESM stages
- No securities exiting the ESM framework
- Consolidated list includes 26+ securities across various ESM stages (Stage I and Stage II)
- Changes effective from January 6, 2026
Regulatory Changes
The Enhanced Surveillance Measure framework continues to operate as a tiered surveillance system where securities can be:
- Newly added to the framework (Part A of Annexure I)
- Moved to higher stages indicating increased surveillance (Part A of Annexure I)
- Moved to lower stages indicating reduced concerns (Part A of Annexure I)
- Removed from the framework entirely (Annexure II)
Securities may exit ESM due to inclusion in other frameworks such as SMP Framework or IBC Framework.
Compliance Requirements
- Trading members must be aware of securities under ESM and their respective stages
- Enhanced due diligence and surveillance apply to all securities listed in the ESM framework
- Different trading restrictions and monitoring requirements apply based on ESM stage (I or II)
- Market participants should review the consolidated list of all securities currently under ESM (Annexure III)
Important Dates
- Effective Date: January 6, 2026 - All ESM stage movements and new additions become effective
- Circular Date: January 5, 2026
Impact Assessment
Market Impact: Medium - The addition of 2 new securities and升级 of 5 securities to higher ESM stages will result in stricter trading conditions for these scrips. This may impact liquidity and trading volumes for affected securities.
Investor Impact: Investors holding or trading these securities should be aware of enhanced surveillance measures which may include additional margin requirements, trade-to-trade settlement, or other restrictions depending on the ESM stage.
Operational Impact: Trading members need to update their systems and risk management frameworks to reflect the new ESM classifications. The consolidated list of 26+ securities provides a comprehensive reference for ongoing compliance monitoring.
Detailed Security Lists
Newly Added to ESM (Effective Jan 6, 2026)
- Bodhtree Consulting Ltd (539122, INE104F01029)
- Vision Cinemas Ltd (526441, INE515B01025)
Moving to Higher ESM Stages
- CDG Petchem Ltd (534796, INE198N01017)
- Mahamaya Steel Industries Ltd (513554, INE451L01014)
- Mega Nirman and Industries Ltd (539767, INE216Q01010)
- Regal Entertainment & Consultants Ltd (531033, INE101E01010)
- SC Agrotech Ltd (526081, INE895E01017)
Moving to Lower ESM Stages
Nil
Exiting ESM Framework
Nil
Impact Justification
Affects trading conditions for 26+ securities through ESM stage movements, impacting investors and trading members dealing with these stocks