Description

BSE updates Enhanced Surveillance Measure framework with new securities added, stage transitions for existing securities, and removals from ESM effective February 09, 2026.

Summary

BSE has issued updates to the Enhanced Surveillance Measure (ESM) framework effective February 09, 2026. The circular details new securities being added to ESM, securities moving to higher or lower ESM stages, and securities exiting the ESM framework. Two new securities are shortlisted for ESM, one security moves to a higher stage, 14 securities move to lower stages, and 11 securities are removed from the ESM framework.

Key Points

  • 2 securities newly shortlisted in ESM: Kairosoft AI Solutions Ltd and Tijaria Polypipes Ltd
  • 1 security moving to higher ESM stage: Gretex Corporate Services Ltd
  • 14 securities moving to lower ESM stages, including Aadi Industries Ltd, Bandaram Pharma Packtech Ltd, and others
  • 11 securities moving out of ESM framework entirely, including Avax Apparels, Consolidated Construction Consortium Ltd, and others
  • Some securities exiting ESM will continue in Trade for Trade basis per previous circulars
  • Changes effective from February 09, 2026

Regulatory Changes

The Enhanced Surveillance Measure framework is being updated with:

New Additions (Annexure I - Part A):

  • Kairosoft AI Solutions Ltd (Scrip Code: 506122, ISIN: INE820M01018)
  • Tijaria Polypipes Ltd (Scrip Code: 533629, ISIN: INE440L01017)

Moving to Higher ESM Stage:

  • Gretex Corporate Services Ltd (Scrip Code: 543324, ISIN: INE199P01028)

Moving to Lower ESM Stage (14 securities): Includes Aadi Industries Ltd, Bandaram Pharma Packtech Ltd, Filtron Engineers Ltd, Kiran Syntex Ltd, Natura Hue Chem Ltd, Norben Tea & Exports Ltd, Octaware Technologies Ltd (SME), Organic Coatings Ltd, Shish Industries Ltd, Shri Keshav Cements And Infra Ltd, Soma Textiles & Industries Ltd, Sri Chakra Cement Ltd, SRM Energy Ltd, and VR Woodart Ltd.

Exiting ESM Framework (Annexure II - 11 securities): Includes Avax Apparels (SME), Consolidated Construction Consortium Ltd, Empower India Ltd, GTN Textiles Ltd, Jay Ushin Ltd, Lancer Container Lines Ltd, Mahaveer Infoway Ltd, Prozone Realty Ltd, Reganto Enterprises Ltd, SDC Techmedia Ltd (SME), and Tamilnadu Steel Tubes Ltd.

Compliance Requirements

  • Trading members and investors must note the ESM stage changes for affected securities
  • Securities in ESM framework are subject to specific trading restrictions based on their stage
  • Securities marked with (~) will continue in Trade for Trade basis as per circulars dated November 27, 2025 and January 05, 2026
  • Market participants must adjust their trading strategies for securities entering, exiting, or changing ESM stages
  • Higher ESM stages typically involve stricter surveillance and trading restrictions

Important Dates

  • Effective Date: February 09, 2026 - All ESM framework changes become effective
  • Circular Date: February 06, 2026

Impact Assessment

Market Impact:

  • Securities newly added to ESM may experience reduced liquidity due to enhanced surveillance measures
  • Securities moving to lower ESM stages may see improved trading conditions
  • Securities exiting ESM framework will have surveillance restrictions removed, potentially improving liquidity
  • Investors holding affected securities should review their positions in light of the surveillance changes

Operational Impact:

  • Trading members must update their systems to reflect new ESM classifications
  • Risk management frameworks need adjustment for securities changing ESM stages
  • Compliance teams must monitor trading activity in newly added ESM securities
  • Some securities exiting ESM will remain in Trade for Trade, requiring continued operational controls

Investor Impact:

  • Increased awareness required for securities under enhanced surveillance
  • Potential impact on trading strategies for affected securities
  • Lower ESM stage securities may present improved trading opportunities
  • Exit from ESM framework indicates improved compliance/surveillance metrics for those securities

Impact Justification

Affects multiple securities with trading restrictions under ESM framework. Important for investors and traders in listed securities to track surveillance stage changes.