Description

Four securities are moving to different GSM stages: three companies moving to Stage II (Quadrant Televentures, Worldwide Aluminium, ANS Industries) and one company moving to Stage III (Rajasthan Tube Manufacturing Company).

Summary

BSE has announced the movement of four securities into different stages of the Graded Surveillance Measure (GSM) framework. Three companies - Quadrant Televentures Ltd (511116), Worldwide Aluminium Ltd (526525), and ANS Industries Ltd (531406) - are moving to GSM Stage II. One company - Rajasthan Tube Manufacturing Company Ltd (530253) - is moving to the more restrictive GSM Stage III. The circular notes that securities may move to lower GSM stages if included in ESM or IBC frameworks.

Key Points

  • Quadrant Televentures Ltd (Security Code: 511116, ISIN: INE527B01020) moved to GSM Stage II
  • Worldwide Aluminium Ltd (Security Code: 526525, ISIN: INE550D01010) moved to GSM Stage II
  • ANS Industries Ltd (Security Code: 531406, ISIN: INE234J01018) moved to GSM Stage II
  • Rajasthan Tube Manufacturing Company Ltd (Security Code: 530253, ISIN: INE497E01020) moved to GSM Stage III
  • Securities marked (#) may move to lower GSM stages if included in ESM Framework
  • Securities marked ($) may move to lower GSM stages if included in IBC Framework

Regulatory Changes

The movement to higher GSM stages imposes stricter surveillance measures on the affected securities. GSM is a graded framework where securities are placed in different stages based on various surveillance criteria. Higher stages (Stage II and III) typically involve additional trading restrictions such as:

  • Trade-for-trade settlement (no intraday trading)
  • Price bands restrictions
  • Additional disclosures required
  • Potential impact on margin requirements

Compliance Requirements

  • Investors and traders must be aware of the enhanced surveillance measures applicable to these securities
  • Trading members should ensure compliance with trade-for-trade settlement requirements
  • Enhanced due diligence required before trading in these securities
  • Investors should review the specific restrictions applicable to each GSM stage
  • Listed companies may need to provide additional disclosures or clarifications to facilitate removal from GSM

Important Dates

  • Circular Date: January 7, 2026
  • Effective Date: The GSM stage changes are effective from the date of circular unless otherwise specified

Impact Assessment

Market Impact: High - Movement to higher GSM stages significantly reduces liquidity in affected securities as trade-for-trade requirements eliminate intraday trading opportunities and discourage speculative activity.

Investor Impact: High - Existing investors face reduced liquidity and potential difficulty in exiting positions. New investors face higher transaction costs and settlement obligations.

Trading Impact: Stricter surveillance measures may lead to reduced trading volumes and wider bid-ask spreads. The securities may see increased volatility due to reduced market participation.

Operational Impact: Brokers and trading members must ensure their systems and processes accommodate the trade-for-trade settlement requirements and other restrictions associated with GSM securities.

Impact Justification

GSM stage advancement indicates heightened surveillance concerns and imposes stricter trading restrictions, significantly impacting liquidity and investor access for affected securities.