Description

Four securities have been moved to higher GSM stages under BSE's surveillance framework, with two companies moving to Stage II and two to Stage III.

Summary

BSE has announced the movement of four securities into higher stages of the Graded Surveillance Measure (GSM) framework. Sinnar Bidi Udyog Ltd has been moved to GSM Stage II, while Softbpo Global Services Ltd, Charms Industries Ltd, and Hari Govind International Ltd have been moved to GSM Stage III. These movements indicate increased surveillance and stricter trading restrictions for these securities.

Key Points

  • Sinnar Bidi Udyog Ltd (Security Code: 509887, ISIN: INE896E01023) moved to GSM Stage II
  • Softbpo Global Services Ltd (Security Code: 504375, ISIN: INE459E01012) moved to GSM Stage III
  • Charms Industries Ltd (Security Code: 531327, ISIN: INE442C01012) moved to GSM Stage III
  • Hari Govind International Ltd (Security Code: 531971, ISIN: INE167F01018) moved to GSM Stage III
  • Securities marked with (#) may move to lower GSM stages if included in ESM Framework
  • Securities marked with ($) may move to lower GSM stages if included in IBC Framework

Regulatory Changes

The GSM framework is a surveillance mechanism that places securities under increased monitoring based on predefined criteria. Movement to higher stages (Stage II or Stage III) results in additional trading restrictions including:

  • Higher price bands or additional surveillance deposit requirements
  • Trade-for-trade settlement (no intraday trading)
  • Periodic call auctions only (for higher stages)
  • Enhanced disclosure requirements

Compliance Requirements

  • Trading members must be aware of the GSM stage applicable to these securities
  • Additional margins or surveillance deposits may be required for trades in these securities
  • Clients should be informed about the surveillance measures and associated trading restrictions
  • Members must comply with the specific trading mechanism applicable to each GSM stage

Important Dates

  • Circular Date: January 23, 2026
  • Effective Date: As per exchange notification (typically from the next trading session)

Impact Assessment

The movement of these securities to higher GSM stages will result in:

  • Liquidity Impact: Reduced trading activity due to stricter settlement requirements and trading restrictions
  • Price Discovery: More controlled price movements with enhanced surveillance
  • Investor Caution: Heightened awareness among investors about potential concerns with these securities
  • Trading Costs: Increased transaction costs due to additional margin requirements
  • Market Sentiment: Negative perception for affected securities as GSM placement signals regulatory concerns

Investors and traders in these securities should exercise caution and be aware of the enhanced surveillance measures and trading restrictions now applicable.

Impact Justification

Affects four securities with increased surveillance restrictions. GSM stage movements indicate heightened regulatory monitoring and can impact trading activity and investor sentiment for these specific stocks.