Description
NSE Clearing announces early pay-in procedures for TATAINVEST securities undergoing face value split from Rs 10/- to Re 1/- per share with ex-date and record date on October 14, 2025.
Summary
NSE Clearing Limited has issued guidelines for early pay-in of securities for Tata Investment Corporation Limited (TATAINVEST) in connection with a face value split corporate action. The stock is undergoing sub-division from Rs 10/- per share to Re 1/- per share with ex-date and record date on October 14, 2025. Members and custodians must follow specific procedures for early pay-in using old ISIN (INE672A01018) on October 14-15, 2025, without adjusting for the conversion ratio.
Key Points
- Face value split from Rs 10/- per share to Re 1/- per share for TATAINVEST
- Ex-date and record date: October 14, 2025
- Existing/Old ISIN: INE672A01018
- Early pay-in must be executed in old ISIN on October 14-15, 2025 without conversion adjustment
- For sale of 10 shares, early pay-in should be 1 share in old ISIN
- Settlement numbers affected: 2025196 (Oct 14) and 2025196 & 2025197 (Oct 15)
- Block mechanism per SEBI circular applies; client-wise allocation file should not be uploaded for block mechanism
- Custodians using pool accounts must upload client-wise allocation based on actual traded quantity
- After record date, pay-in/early pay-in must use new ISIN
Regulatory Changes
No new regulatory changes introduced. This circular implements existing framework under Item 10.18 ‘Early Pay-in of Securities for Margin Exemption’ from consolidated circular NCL/CMPT/67751 dated April 29, 2025, and references SEBI circular on Block Mechanism (NCL/CMPT/53386 dated August 22, 2022).
Compliance Requirements
For Members/Market Participants:
- Execute early pay-in instructions in old ISIN (INE672A01018) for settlements on October 14-15, 2025
- Do not adjust quantity for conversion ratio during early pay-in on ex-date/record date
- Adhere to block mechanism requirements per NCL circular NCL/CMPT/53386
- When using block mechanism, do not upload client-wise early pay-in allocation file
- Switch to new ISIN for all pay-in/early pay-in after record date
For Custodians:
- If providing early pay-in through pool account, upload client-wise allocation details based on actual traded quantity (post-split quantity)
- Follow same ISIN transition rules as members
Important Dates
- October 13, 2025: Circular issue date
- October 14, 2025: Ex-date and record date for face value split
- October 14, 2025: EPI date - use old ISIN (Settlement 2025196)
- October 15, 2025: EPI date - use old ISIN (Settlements 2025196 & 2025197)
- After October 14, 2025: Use new ISIN for all pay-in/early pay-in instructions
Impact Assessment
Operational Impact: Medium - Members and custodians trading TATAINVEST must implement specific early pay-in procedures for a brief period, requiring operational adjustments to handle dual ISIN transition and conversion ratio calculations.
Market Impact: Low to Medium - Limited to single stock but affects all market participants holding or trading TATAINVEST around the corporate action dates. Proper execution ensures smooth settlement and margin benefit delivery.
Client Impact: Members must ensure client demat accounts have proper blocking mechanisms in place and custodians must accurately allocate early pay-in across client accounts using correct quantities and ISINs to avoid settlement failures.
Impact Justification
Procedural circular affecting members trading TATAINVEST around corporate action dates, requiring specific early pay-in handling for face value split but limited to single stock and short timeframe