Description

BSE updates ESM framework with new securities added, stage transitions for existing securities, and consolidated list of all securities under enhanced surveillance effective January 22, 2026.

Summary

BSE has issued updates to the Enhanced Surveillance Measure (ESM) Framework effective January 22, 2026. The circular identifies securities being newly shortlisted under ESM, securities moving to higher ESM stages, and provides a consolidated list of all securities currently under enhanced surveillance. United Van Der Horst Ltd has been newly added to ESM, while Krishna Capital and Securities Ltd is being moved to a higher ESM stage. No securities are moving to lower stages or exiting the framework at this time.

Key Points

  • 1 security newly shortlisted under ESM: United Van Der Horst Ltd (Scrip Code: 522091, ISIN: INE890G01021)
  • 1 security moving to higher ESM stage: Krishna Capital and Securities Ltd (Scrip Code: 539384, ISIN: INE897B01019)
  • No securities moving to lower ESM stages
  • No securities moving out of ESM framework
  • Consolidated list includes at least 30 securities across various ESM stages (Stage I and Stage II)
  • Changes effective from January 22, 2026
  • Securities marked with # are SME scrips
  • Securities marked with * are as per NSE

Regulatory Changes

The ESM framework continues to operate with staged surveillance levels (Stage I and Stage II) based on predefined criteria. Securities under ESM are subject to additional surveillance measures including trade-for-trade settlement, reduced price bands, and other restrictions depending on the stage. The framework aims to alert investors about securities exhibiting abnormal price movements or other concerns.

Compliance Requirements

  • Market participants must note the ESM stage classifications for affected securities
  • Trading members should ensure compliance with ESM-related trading restrictions
  • Investors should be aware that ESM securities are subject to additional surveillance and may have restricted trading conditions
  • Securities in higher ESM stages face more stringent trading restrictions

Important Dates

  • Effective Date: January 22, 2026 - All ESM changes come into effect
  • Circular Date: January 21, 2026

Impact Assessment

Trading Impact: Securities newly added or moved to higher ESM stages will face increased trading restrictions, potentially affecting liquidity and investor participation. United Van Der Horst Ltd enters surveillance framework, while Krishna Capital and Securities Ltd faces escalated surveillance measures.

Investor Impact: Investors holding or trading these securities should exercise caution as ESM classification indicates regulatory concerns about price volatility, compliance issues, or other risk factors. Higher ESM stages typically result in trade-for-trade settlement and tighter price bands.

Market Operations: The consolidated list provides transparency on all securities under enhanced surveillance, helping market participants make informed decisions. The framework serves as an early warning system for securities exhibiting unusual characteristics.

Impact Justification

Affects trading of multiple securities with stage changes in ESM framework. Important for investors and traders of these specific stocks but limited broader market impact.