Description
BSE announces additions and stage movements of securities under Enhanced Surveillance Measure (ESM) framework effective February 5, 2026, including 3 new additions and 1 security moving to higher stage.
Summary
BSE has updated the Enhanced Surveillance Measure (ESM) framework effective February 5, 2026. Three securities are being newly added to ESM Stage I, and one security (Adinath Textiles Ltd) is being moved to a higher ESM stage (Stage II). The circular provides consolidated list of all 29+ securities currently under ESM framework across different stages. No securities are moving out of the ESM framework.
Key Points
- 3 new securities added to Enhanced Surveillance Measure (ESM) Stage I effective February 5, 2026
- Dev Labtech Venture Ltd (543848) added to ESM Stage I (SME scrip)
- Dhanashree Electronics Ltd (542679) added to ESM Stage I
- Innovative Ideals and Services (India) Ltd (541983) added to ESM Stage I (SME scrip)
- Adinath Textiles Ltd (514113) moved from Stage I to Stage II ESM
- No securities moving to lower ESM stage
- No securities exiting ESM framework
- Consolidated list includes 29+ securities across ESM Stage I and Stage II
- ESM framework involves stricter surveillance and monitoring of securities
Regulatory Changes
Enhanced Surveillance Measure (ESM) framework continues with updated security list. Securities under ESM are subject to additional surveillance including:
- Price band restrictions
- Trade-for-trade settlement
- 100% margin requirements
- Enhanced disclosure requirements
- Periodic review for stage movement or exit
Stage progression indicates continued concerns requiring heightened surveillance.
Compliance Requirements
- Trading members must ensure compliance with ESM framework requirements for affected securities
- Additional margin and settlement obligations apply to ESM securities
- All trades in ESM securities settle on trade-for-trade basis
- No intraday squaring off permitted for ESM securities
- Members must inform clients about ESM status of securities
- Enhanced reporting and monitoring obligations for transactions
Important Dates
- Effective Date: February 5, 2026 - ESM framework changes take effect
- Circular Date: February 4, 2026
Impact Assessment
Market Impact: Medium - Affects liquidity and trading activity in specific securities. ESM securities typically see reduced trading volumes due to stricter requirements.
Trading Impact: Securities under ESM face 100% margin requirements and trade-for-trade settlement, significantly reducing speculative trading and intraday activity.
Investor Impact: Investors holding or trading these securities face higher capital requirements and settlement obligations. Movement to higher ESM stage (Adinath Textiles) indicates continued regulatory concerns.
SME Segment Impact: 2 of 3 newly added securities are SME scrips, highlighting surveillance focus on smaller listed companies.
Securities Details
Newly Added to ESM Stage I:
- Dev Labtech Venture Ltd - Scrip Code: 543848, ISIN: INE0NIJ01017 (SME)
- Dhanashree Electronics Ltd - Scrip Code: 542679, ISIN: INE413F01016
- Innovative Ideals and Services (India) Ltd - Scrip Code: 541983, ISIN: INE492Y01011 (SME)
Moving to Higher ESM Stage (Stage II):
- Adinath Textiles Ltd - Scrip Code: 514113, ISIN: INE207C01019
Consolidated ESM List Highlights:
The circular includes a consolidated list of all securities under ESM framework, including companies like Aadi Industries Ltd, Aayush Wellness Ltd, ABM Knowledgeware Ltd, Acceleratebs India Ltd, Aerpace Industries Ltd, Alps Industries Ltd, Aptus Pharma Ltd, Arcee Industries Ltd, Arunis Abode Ltd, and many others across Stage I and Stage II surveillance.
Impact Justification
Affects trading in specific securities under enhanced surveillance with stricter monitoring requirements; impacts liquidity and trading in 3 newly added securities and 1 security moving to higher ESM stage