Description

BSE updates Enhanced Surveillance Measure framework with new securities added, stage migrations, and consolidated list effective January 23, 2026.

Summary

BSE has updated the Enhanced Surveillance Measure (ESM) framework effective January 23, 2026. Two new securities have been shortlisted for inclusion in ESM: Glittek Granites Ltd and Mukat Pipes Ltd. Additionally, two securities (Starlineps Enterprises Ltd and Switching Technologies Gunther Ltd) will be moved to higher ESM stages, while no securities are being moved to lower stages or exiting the framework.

Key Points

  • 2 new securities added to ESM framework: Glittek Granites Ltd (513528) and Mukat Pipes Ltd (523832)
  • 2 securities moving to higher ESM stages: Starlineps Enterprises Ltd (540492) and Switching Technologies Gunther Ltd (517201)
  • No securities moving to lower ESM stages
  • No securities exiting ESM framework
  • Consolidated list contains at least 29 securities across ESM Stage I and Stage II
  • Changes effective from January 23, 2026

Regulatory Changes

The ESM framework continues to operate with its existing stage-based surveillance mechanism. Securities are categorized into different stages (Stage I and Stage II) based on surveillance criteria. Higher stages typically impose stricter trading restrictions and monitoring requirements.

Compliance Requirements

  • Market participants must note the enhanced surveillance status of listed securities
  • Trading in ESM securities may be subject to additional margins, price bands, or trade-for-trade requirements
  • Investors should exercise caution when trading in securities under ESM framework
  • Broker-dealers must ensure compliance with applicable ESM-related trading restrictions

Important Dates

  • Effective Date: January 23, 2026 - All ESM framework changes come into effect

Impact Assessment

Market Impact: Medium - The addition of 2 new securities and upward migration of 2 existing securities indicates continued surveillance activity. ESM placement typically results in reduced liquidity due to stricter trading conditions.

Operational Impact: Securities under ESM face trading restrictions such as reduced price bands, additional surveillance deposits, or trade-for-trade settlement, which can significantly impact trading volumes and investor participation.

Investor Impact: Investors holding or trading the affected securities should be aware of enhanced monitoring and potential liquidity constraints. The upward stage migration for Starlineps Enterprises and Switching Technologies Gunther suggests deteriorating compliance or market quality parameters.

Impact Justification

Affects trading conditions for multiple securities under enhanced surveillance with stage migrations impacting liquidity and trading parameters