Description

BSE announces movement of 8 securities into various GSM stages (I, II, and III) effective March 12, 2026, including Soni Medicare, Sailani Tours, Krishna Filament, and others.

Summary

BSE has announced the placement of 8 securities into various stages of the Graded Surveillance Measure (GSM) framework as of March 12, 2026. Two securities are moving to GSM Stage I, five to Stage II, and one to Stage III. GSM is a surveillance mechanism to alert and caution investors about securities that exhibit abnormal price-volume behavior inconsistent with financial health.

Key Points

  • 2 securities moved to GSM Stage I: Soni Medicare Ltd (539378) and Sailani Tours N Travels Ltd (543541)
  • 5 securities moved to GSM Stage II: Krishna Filament Industries Ltd (500248), Oswal Leasing Ltd (509099), Sinnar Bidi Udyog Ltd (509887), Oswal Yarns Ltd (514460), and LCC Infotech Ltd (532019)
  • 1 security moved to GSM Stage III: Fraser and Company Ltd (539032)
  • LCC Infotech Ltd (532019) placement is as per NSE data
  • Securities marked (#) move lower in GSM due to inclusion in ESM Framework
  • Securities marked ($) move lower in GSM due to inclusion in IBC Framework

Regulatory Changes

The GSM framework subjects listed securities to enhanced surveillance based on fundamentals and market activity. Securities placed under GSM are subject to progressively restrictive trading conditions as they advance through stages:

  • Stage I: Trade-to-trade settlement, periodic call auction
  • Stage II: Additional price band restrictions
  • Stage III: More stringent trading restrictions including reduced price bands and mandatory additional surveillance deposits

Compliance Requirements

  • Brokers and trading members must ensure clients are informed of the GSM status before executing trades in these securities
  • Investors wishing to trade in GSM-listed securities may be required to pay an additional surveillance deposit (ASD)
  • Companies placed under GSM should review their compliance status and take corrective measures to exit the framework
  • All trades in these securities will be settled on a trade-to-trade basis

Important Dates

  • Effective Date: March 12, 2026 — securities moved into their respective GSM stages

Impact Assessment

High impact on retail and institutional investors holding these securities. Key consequences include:

  • Reduced liquidity due to trade-to-trade settlement (no netting of positions)
  • Additional surveillance deposit requirements may deter new buyers
  • Negative market sentiment signal for all 8 affected companies
  • Fraser and Company Ltd faces the most severe restrictions at Stage III
  • Stocks may experience price pressure as investors reduce exposure to avoid GSM-related trading friction
  • Companies affected span diverse sectors: healthcare, travel & tourism, textiles, financial services, FMCG, and IT

Impact Justification

GSM placement directly restricts trading activity for affected securities, imposing trade-to-trade settlement and price bands. Investors holding these stocks face significant liquidity and trading constraints. Movement to Stage III for Fraser and Company is particularly severe.