Description

BSE notifies trading members that equity shares of Arco Leasing Ltd. (Scrip Code: 511038) will be reclassified under the 'X' group effective March 02, 2026, impacting settlement and trading conditions.

Summary

BSE has issued Notice No. 20260223-13 informing trading members that the equity shares of Arco Leasing Ltd. (Scrip Code: 511038) will be moved to the ‘X’ group with effect from March 02, 2026. The ‘X’ group on BSE mandates trade-to-trade (T2T) settlement, meaning no intraday squaring off is permitted and all trades must result in delivery.

Key Points

  • Arco Leasing Ltd. (Scrip Code: 511038) will be classified under the ‘X’ group from March 02, 2026.
  • The ‘X’ group designation enforces trade-to-trade settlement — intraday trading is not allowed; every buy or sell position must be delivered.
  • The reclassification is initiated by BSE’s Listing Compliance department.
  • Contact for clarifications: Mrs. Kinjal More, Cell: +91-7304278788.

Regulatory Changes

The equity shares of Arco Leasing Ltd. are being moved from their current trading group to the ‘X’ (Trade-to-Trade) group under BSE’s market surveillance and listing compliance framework. This reclassification is a regulatory measure typically applied to companies that do not meet certain compliance or financial thresholds.

Compliance Requirements

  • Trading members must ensure all trades in Arco Leasing Ltd. (511038) from March 02, 2026 onwards are settled on a delivery basis.
  • No intraday netting or square-off will be permitted after the effective date.
  • Members should update their systems and client-facing platforms to reflect the group change and T2T settlement requirement.

Important Dates

  • Notice Date: February 23, 2026
  • Effective Date of Group Change: March 02, 2026

Impact Assessment

Moving a scrip to the ‘X’ group increases settlement risk and reduces trading liquidity, as participants can no longer take intraday positions. This typically leads to lower trading volumes and wider bid-ask spreads. Investors holding or planning to trade Arco Leasing Ltd. shares should be aware that all transactions will require full delivery, increasing the capital commitment per trade. The reclassification also signals potential listing compliance concerns with the company.

Impact Justification

Reclassification to 'X' group enforces trade-to-trade settlement with no intraday netting, directly restricting trading flexibility for the stock and signalling a compliance concern for the company.