Description
BSE announces movement of 8 securities into their respective GSM stages (III and IV) effective March 4, 2026, including companies such as Nibe Ordnance and Maritime Ltd, Aviva Industries Ltd, and Madhur Industries Ltd.
Summary
BSE has announced the movement of 8 securities into their respective Graded Surveillance Measure (GSM) stages as of March 4, 2026. One security is placed under GSM Stage III and seven under GSM Stage IV. GSM is a regulatory framework designed to protect investors by imposing additional surveillance and trading restrictions on securities identified as potentially risky or non-compliant.
Key Points
- 8 securities are being moved into GSM stages effective March 4, 2026
- 1 security (Nibe Ordnance and Maritime Ltd) is placed in GSM Stage III
- 7 securities are placed in GSM Stage IV, the highest level of surveillance
- GSM Stage IV imposes the most stringent trading restrictions, including trade-to-trade settlement and price bands
- Securities marked (#) may be moved to a lower GSM stage due to inclusion in the ESM Framework
- Securities marked ($) may be moved to a lower GSM stage due to inclusion in the IBC Framework
Securities Moved to GSM Stage III
| Security Code | ISIN | Security Name |
|---|---|---|
| 512091 | INE425H01016 | Nibe Ordnance and Maritime Ltd |
Securities Moved to GSM Stage IV
| Security Code | ISIN | Security Name |
|---|---|---|
| 512109 | INE461H01011 | Aviva Industries Ltd |
| 519279 | INE110C01015 | Madhur Industries Ltd |
| 521242 | INE292D01019 | Kandagiri Spinning Mills Ltd |
| 523896 | INE316O01021 | Avi Products India Ltd |
| 531127 | INE148B01033 | Mena Mani Industries Ltd |
| 531207 | INE741C01017 | Cresanto Global Ltd |
| 531686 | INE537C01019 | Advik Laboratories Ltd |
Regulatory Changes
The Graded Surveillance Measure (GSM) framework imposes increasing levels of restrictions as securities move through its stages. Stage IV is the most restrictive tier, and placement in GSM requires securities to comply with additional surveillance conditions. Securities in higher GSM stages are subject to trade-to-trade settlement, restricted price movement, and periodic review for compliance.
Compliance Requirements
- Brokers and trading members must ensure clients are informed of the GSM status of these securities before executing trades
- Investors holding or intending to trade these securities must be aware of the applicable trading restrictions under the respective GSM stage
- Companies placed under GSM must fulfill the conditions prescribed by BSE to be considered for removal from the GSM framework
- Trading in GSM Stage IV securities is subject to trade-to-trade settlement with applicable price bands
Important Dates
- Effective Date: March 4, 2026 — Securities are moved into their respective GSM stages
Impact Assessment
Placement under GSM, particularly at Stage IV, significantly restricts the tradability and liquidity of the affected securities. Investors in these 8 companies will face tighter trading conditions including mandatory delivery-based settlement. Stage IV represents the highest level of regulatory concern, suggesting fundamental issues with the companies’ compliance, financials, or trading patterns. Retail investors are particularly impacted as these restrictions limit the ability to exit positions freely. The movement of 7 securities directly to Stage IV signals heightened regulatory vigilance and may further erode investor confidence in these scrips.
Impact Justification
GSM stage placement imposes significant trading restrictions on the affected securities, directly impacting liquidity and investor access. Movement to Stage III and IV represents elevated regulatory scrutiny and can severely restrict trading activity for the listed companies.