Description

BSE updates Additional Surveillance Measure for companies under Insolvency and Bankruptcy Code, adding Radhagobind Commercial Ltd to Stage 1 effective January 27, 2026.

Summary

BSE has issued updated surveillance measures for securities under the Insolvency and Bankruptcy Code (IBC) framework effective January 27, 2026. The circular adds one company - Radhagobind Commercial Ltd (Scrip Code: 539673, ISIN: INE792P01020) - to Stage 1 of Additional Surveillance Measure. No securities are being moved to Stage 0, upgraded from Stage I to Stage II, downgraded from Stage II to Stage I, or excluded from the framework.

Key Points

  • One security added to IBC Stage 1 surveillance: Radhagobind Commercial Ltd
  • No securities added to Stage 0 (Receipt of corporate announcement/disclosure)
  • No securities moving between stages (Stage I to II or Stage II to I)
  • No securities being excluded from ASM-IBC framework
  • Consolidated list includes 14 companies under IBC surveillance with various stage classifications
  • Framework continues to track companies under Insolvency Resolution Process (IRP)

Regulatory Changes

This circular implements the ongoing Additional Surveillance Measure (ASM) framework for companies undergoing Insolvency Resolution Process under the Insolvency and Bankruptcy Code. The IBC surveillance framework operates in stages:

  • Stage 0: Receipt of corporate announcement/disclosure from the company regarding IBC proceedings
  • Stage 1: Companies shortlisted in ASM for IRP under IBC
  • Stage 2: Enhanced surveillance for companies in advanced stages of insolvency proceedings

The framework includes special markers for T+0 scrips and recommencement scrips as indicated in the consolidated list.

Compliance Requirements

  • Market participants should note the surveillance status of Radhagobind Commercial Ltd effective January 27, 2026
  • Trading members must comply with applicable surveillance measures for securities under IBC framework
  • Investors should exercise caution when trading in securities under IBC surveillance stages
  • Companies listed in consolidated annexure remain subject to ongoing surveillance and disclosure requirements

Important Dates

  • Effective Date: January 27, 2026 - New surveillance classifications become applicable
  • Circular Date: January 23, 2026

Impact Assessment

Market Impact: Low - Only one security affected in this update. The addition of Radhagobind Commercial Ltd to Stage 1 surveillance indicates the company is under insolvency proceedings, which may impact its trading liquidity and investor sentiment.

Trading Impact: Securities under IBC surveillance typically face increased scrutiny, potential price band restrictions, and reduced investor participation. Market participants should be aware of the insolvency status when making trading decisions.

Investor Impact: Investors holding positions in Radhagobind Commercial Ltd should monitor developments in the company’s insolvency proceedings closely. The IBC framework provides transparency about companies facing financial distress.

Systemic Impact: This is a routine surveillance update maintaining market integrity by clearly identifying companies under insolvency proceedings. The consolidated list of 14+ companies under various IBC stages helps market participants make informed decisions.

Impact Justification

Routine surveillance update affecting only one security (Radhagobind Commercial Ltd) moving to Stage 1 IBC surveillance. Limited market impact but important for compliance tracking.