Description

NSE Clearing circular regarding early pay-in process for CAMS securities due to face value split from Rs 10 to Rs 2 per share with record date December 5, 2025.

Summary

NSE Clearing Limited has issued guidelines for early pay-in (EPI) of securities for Computer Age Management Services Limited (CAMS) in connection with a face value split corporate action. The stock will undergo sub-division from Rs 10 per share to Rs 2 per share with record date and ex-date on December 5, 2025. Members and custodians must follow specific procedures for early pay-in using the existing ISIN (INE596I01012) with appropriate conversion adjustments for trades on December 5 and 8, 2025.

Key Points

  • Face value split of CAMS from Rs 10 per share to Rs 2 per share (1:5 split ratio)
  • Record Date and Ex-Date: December 5, 2025
  • Early pay-in must be executed in old/existing ISIN (INE596I01012) before record date
  • For sale of 10 shares, early pay-in should be made for 2 shares in old ISIN
  • Settlement numbers affected: 2025232 (Dec 5) and 2025232 & 2025233 (Dec 8)
  • After record date, pay-in instructions should use new ISIN
  • Block mechanism guidelines from August 22, 2022 circular must be followed
  • Client-wise allocation file should not be uploaded when using block mechanism
  • Custodians using pool accounts must upload client-wise allocation based on actual traded quantity

Regulatory Changes

No new regulatory changes introduced. This circular provides operational guidance for implementing existing early pay-in provisions (Item 10.18 of consolidated circular NCL/CMPT/67751 dated April 29, 2025) during a corporate action event.

Compliance Requirements

For Trading Members:

  • Execute early pay-in in old ISIN without adjusting for conversion on December 5 and 8, 2025
  • Apply conversion ratio: for every 10 shares sold, deliver 2 shares in old ISIN
  • Adhere to SEBI block mechanism requirements per NCL circular NCL/CMPT/53386 dated August 22, 2022
  • Do not upload client-wise early pay-in allocation file when using block mechanism
  • Switch to new ISIN for pay-in/early pay-in after record date

For Custodians:

  • Upload client-wise early pay-in allocation details based on actual traded quantity when using pool accounts
  • Follow conversion adjustments in depository systems for old ISIN
  • Transition to new ISIN after December 5, 2025

Important Dates

  • December 4, 2025: Circular issue date
  • December 5, 2025: Record date and ex-date for face value split; EPI date for settlement 2025232 (use old ISIN)
  • December 8, 2025: EPI date for settlements 2025232 & 2025233 (use old and new ISIN respectively)
  • After December 5, 2025: All pay-in instructions to use new ISIN

Impact Assessment

Operational Impact: Medium - requires careful attention to ISIN usage and conversion ratios during the transition period. Trading members and custodians must update their systems and processes to handle the split correctly.

Market Impact: Low to Medium - affects only CAMS securities and participants with positions in this stock during the corporate action period.

Member Impact: Members doing early pay-in must understand the conversion mechanism to avoid settlement failures. Incorrect ISIN usage or wrong quantities could result in pay-in rejections or margin implications.

Client Impact: Clients selling CAMS shares during this period benefit from early pay-in margin exemption if their brokers/custodians execute instructions correctly with proper conversion adjustments.

Impact Justification

Affects trading members and custodians dealing with CAMS securities during the corporate action period. Requires specific handling of early pay-in instructions using old ISIN with conversion adjustments.