Description

BSE announces movement of securities in and out of Enhanced Surveillance Measure (ESM) framework with stage changes effective January 27, 2026.

Summary

BSE has announced changes to the Enhanced Surveillance Measure (ESM) framework effective January 27, 2026. The circular details movement of securities across different ESM stages: 1 security newly shortlisted for ESM, 5 securities moving to higher (stricter) ESM stages, 15 securities moving to lower (relaxed) ESM stages, and 26 securities exiting the ESM framework completely.

Key Points

  • 1 security (Jauss Polymers Ltd) newly shortlisted for ESM framework
  • 5 securities moving to higher ESM stages indicating increased surveillance concerns
  • 15 securities moving to lower ESM stages showing improved compliance/trading patterns
  • 26 securities completely removed from ESM framework
  • Changes take effect from January 27, 2026
  • Includes both main board and SME scrips

Regulatory Changes

The ESM framework applies enhanced surveillance measures to securities exhibiting abnormal price movements or other risk factors. Movement to higher stages typically involves stricter price bands, higher margins, or trading restrictions. Movement to lower stages or exit from ESM indicates improved market behavior.

New ESM Inclusions:

  • Jauss Polymers Ltd (526001, INE593O01017)

Moving to Higher ESM Stage:

  • Arcee Industries Ltd (520121)
  • Emergent Industrial Solutions Ltd (506180)
  • Samtel India Ltd (500371)
  • Sizemasters Technology Ltd (513496)
  • Vision Cinemas Ltd (526441)

Moving to Lower ESM Stage:

  • Anirit Ventures Ltd, Bansisons Tea Industries Ltd, Chambal Breweries & Distilleries Ltd, Empower India Ltd, Hiliks Technologies Ltd, Khandelwal Extractions Ltd, Mahaveer Infoway Ltd, Mahip Industries Ltd (SME), Phaarmasia Ltd, Prozone Realty Ltd, Ramgopal Polytex Ltd, S.A.L. Steel Ltd, Transchem Ltd, TVS Electronics Ltd, Yuranus Infrastructure Ltd

Exiting ESM Framework:

  • 26 securities including Alan Scott Enterprises Ltd, Ambitious Plastomac Company Ltd, Chartered Capital & Investment Ltd, and others listed in Annexure II

Compliance Requirements

  • Market participants must be aware of applicable ESM stage restrictions for affected securities
  • Securities in higher ESM stages may have stricter price bands, margin requirements, or trading restrictions
  • Investors should verify current ESM status before trading in these securities
  • Some securities exiting ESM may be moving to SMP (Surveillance Measure for Prevention) framework instead

Important Dates

  • Effective Date: January 27, 2026 - All ESM framework changes become applicable

Impact Assessment

Market Impact: Medium - Affects 47 securities with varied liquidity profiles. ESM changes directly impact trading conditions including margins, price bands, and settlement cycles.

Investor Impact: Investors holding or trading these securities will experience changes in trading restrictions. Those in higher ESM stages face stricter conditions, while those moving to lower stages or exiting ESM will have relaxed trading conditions.

Operational Impact: Brokers and trading members must update their risk management systems to reflect new ESM classifications and ensure compliance with stage-specific requirements.

Impact Justification

Affects trading conditions for 47 securities through ESM framework changes. 1 new inclusion, 5 moving to higher stages (stricter surveillance), 15 moving to lower stages (relaxed surveillance), and 26 exiting ESM framework entirely.