Description

BSE announces movement of five securities to higher GSM stages, with Santosh Fine-Fab Ltd. and Nihar Info Global Ltd. moving to Stage I, two securities to Stage II, and one to Stage III.

Summary

BSE has issued a circular listing five securities that are moving into higher stages of the Graded Surveillance Measure (GSM) framework. The affected securities include Santosh Fine-Fab Ltd. and Nihar Info Global Ltd. moving to GSM Stage I, Adarsh Plant Protect Ltd. and Karnawati Innovation Limited moving to Stage II, and Starcom Information Technology moving to Stage III. The GSM framework applies enhanced surveillance measures to securities based on specific parameters.

Key Points

  • Two securities moving to GSM Stage I: Santosh Fine-Fab Ltd. (530035) and Nihar Info Global Ltd. (531083)
  • Two securities moving to GSM Stage II: Adarsh Plant Protect Ltd. (526711) and Karnawati Innovation Limited (531671)
  • One security moving to GSM Stage III: Starcom Information Technology (531616)
  • Securities marked with (#) can move to lower GSM stages if included in ESM Framework
  • Securities marked with ($) can move to lower GSM stages if included in IBC Framework

Regulatory Changes

No new regulatory changes introduced. This circular implements the existing Graded Surveillance Measure framework by moving specific securities to appropriate surveillance stages based on their trading characteristics and risk parameters.

Compliance Requirements

  • Trading members must be aware of the enhanced surveillance applicable to these securities
  • Additional margin requirements and price bands may apply based on GSM stage
  • Investors should note the increased surveillance status when trading these securities
  • Securities in higher GSM stages are subject to stricter monitoring and trading restrictions

Important Dates

  • Circular Date: January 9, 2026
  • Effective Date: Not explicitly specified, typically applicable immediately or from next trading session

Impact Assessment

Market Impact: The movement to higher GSM stages will result in increased trading restrictions and margin requirements for the affected securities, potentially reducing liquidity and trading volumes. Investors may exercise additional caution when dealing with these stocks.

Operational Impact: Trading members and clearing members need to ensure their systems reflect the updated GSM classifications and apply appropriate margin calculations and risk management protocols for these securities. The higher surveillance stages serve as risk indicators for market participants.

Impact Justification

Movement to higher GSM stages indicates increased surveillance on these securities due to price volatility or other concerns, affecting trading conditions and investor awareness.