Enhanced Surveillance Measure (ESM) - Securities List Update w.e.f. February 26, 2026

Description

BSE announces updates to the Enhanced Surveillance Measure (ESM) framework effective February 26, 2026, including 3 new securities added, 4 moved to higher ESM stages, and none moved to lower stages or removed.

Summary

BSE has updated the Enhanced Surveillance Measure (ESM) framework effective February 26, 2026. Three new securities have been shortlisted into ESM, four securities have been moved to higher ESM stages, and no securities have been moved to lower stages or removed from the framework. A consolidated list of all securities currently under ESM is also provided in Annexure III.

Key Points

• 3 new securities added to ESM framework w.e.f. February 26, 2026: IB Infotech Enterprises Ltd (519463), Marc Loire Fashions Ltd (544437, SME), and NDA Securities Ltd (511535)
• 4 securities moved to higher ESM stage w.e.f. February 26, 2026: Mudunuru Ltd (538743), Ramchandra Leasing & Finance Ltd (538540), Sancode Technologies Ltd (543897, SME), and Shentracon Chemicals Ltd (530757)
• No securities moved to lower ESM stage
• No securities removed from ESM framework
• Scrips marked # are SME scrips; scrips marked * are as per NSE data

Regulatory Changes

• The ESM framework is being updated as part of BSE’s ongoing surveillance mechanism to protect investors from abnormal price and volume movements in certain securities.
• Securities escalated to higher ESM stages face more restrictive trading conditions, including reduced price bands and trade-for-trade settlement requirements.
• Per circular references 20251127-51 and 20260105-26, certain scrips continuing in Trade for Trade settlement will remain so.

Compliance Requirements

• Brokers and trading members must update their systems and inform clients about the ESM status changes effective February 26, 2026.
• Investors holding or intending to trade in ESM-listed securities must be aware of applicable trading restrictions, including periodic call auction mechanisms and trade-for-trade settlement.
• No securities are moving out due to SMP (Short-term Additional Surveillance Measure) or IBC (Insolvency and Bankruptcy Code) framework inclusions in this update.

Important Dates

• Effective Date: February 26, 2026 — all ESM additions, stage upgrades, and downgrades take effect.

Impact Assessment

Newly added securities (high impact on affected stocks):

Securities moved to higher ESM stage (increased restrictions):

Securities placed under ESM face significantly reduced liquidity as they are subject to periodic call auctions, trade-for-trade settlement, and tighter price bands. Investors in these scrips may face difficulty exiting positions. The consolidated list in Annexure III contains a large number of securities across ESM Stage I and Stage II, reflecting ongoing broad surveillance activity by BSE.

Impact Justification

ESM framework changes directly restrict trading conditions for affected securities; new additions face stricter surveillance and trade-for-trade settlement, significantly impacting liquidity and investor access for those scrips.