Description

NSE Clearing directive on early pay-in procedures for BECTORFOOD securities due to face value split from Rs 10/- to Rs 2/- per share, effective December 12, 2025.

Summary

NSE Clearing Limited has issued instructions regarding early pay-in (EPI) of securities for Mrs. Bectors Food Specialities Limited (BECTORFOOD) in connection with a face value split from Rs 10/- per share to Rs 2/- per share. Members must follow specific procedures for early pay-in using old/existing ISIN before the record date and new ISIN after the record date to avail margin exemption benefits.

Key Points

  • Face value split of BECTORFOOD from Rs 10/- to Rs 2/- per share
  • Old ISIN: INE495P01012
  • Record Date and Ex-Date: December 12, 2025
  • Early pay-in on December 12, 2025 (Settlement 2025237) must use old ISIN
  • Early pay-in on December 15, 2025 (Settlements 2025237 & 2025238) transitions to new ISIN
  • Conversion ratio: For sale of 10 shares (new), early pay-in should be 2 shares (old)
  • Block mechanism applicable as per SEBI guidelines (NCL/CMPT/53386 dated August 22, 2022)
  • 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 implements existing early pay-in procedures (Item 10.18 of consolidated circular NCL/CMPT/67751 dated April 29, 2025) for a specific corporate action event.

Compliance Requirements

For Members/Market Participants:

  • Execute early pay-in in old ISIN (INE495P01012) for trades on December 12, 2025
  • Adjust quantity based on split ratio when making early pay-in (divide traded quantity by 5)
  • Adhere to block mechanism requirements per NCL circular NCL/CMPT/53386
  • 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 (post December 12, 2025)

For Custodians:

  • If providing early pay-in through pool account, upload client-wise allocation details based on actual traded quantity (not adjusted quantity)
  • Ensure proper ISIN usage based on settlement date

Important Dates

  • December 10, 2025: Circular issuance date
  • December 12, 2025: Record Date and Ex-Date for face value split
  • December 12, 2025: EPI in old ISIN for settlement 2025237
  • December 15, 2025: EPI transitions to new ISIN for settlements 2025237 & 2025238

Impact Assessment

Operational Impact: Medium - Members and custodians trading BECTORFOOD must carefully manage ISIN transitions during the settlement period to ensure proper margin exemption benefits. Incorrect ISIN usage could result in rejected pay-ins or loss of margin benefits.

Market Impact: Low to Medium - Limited to participants trading BECTORFOOD around the record date. The 5:1 split ratio requires careful quantity calculations for early pay-in to avoid errors.

Process Impact: Requires coordination between trading systems, depository interfaces, and back-office operations to handle dual ISIN period correctly. Custodians must maintain separate processes for block mechanism vs. pool account early pay-in reporting.

Impact Justification

Operational circular affecting settlement procedures for a specific stock undergoing face value split. Important for members trading BECTORFOOD but limited to single security.