Description
NSE suspends trading in non-convertible securities of Indian Bank and Small Industries Development Bank of India effective December 29, 2025 due to redemption.
Summary
The National Stock Exchange of India has issued a circular notifying the suspension of trading in two non-convertible securities (privately placed) effective December 29, 2025. The suspension affects debt instruments issued by Indian Bank and Small Industries Development Bank of India (SIDBI) pursuant to Regulation 3.1.2 of the NSE Debt Market (Trading) Regulations Part A.
Key Points
- Two non-convertible securities (privately placed) will be suspended from trading on NSE
- Suspension effective date: December 29, 2025
- Indian Bank security (ISIN: INE562A08081) suspended for redemption due to exercising call option
- SIDBI security (ISIN: INE556F08KF5) suspended for redemption
- Action taken under Regulation 3.1.2 of NSE Debt Market (Trading) Regulations Part A
Regulatory Changes
No new regulatory changes introduced. This circular implements existing regulations governing the suspension of debt securities from trading on the exchange.
Compliance Requirements
- Market participants should note the suspension of trading in the specified ISINs effective December 29, 2025
- Members must ensure no trading activity occurs in these securities from the suspension date
- Positions in these securities should be settled or closed before the suspension date
Important Dates
- Circular Date: December 26, 2025
- Suspension Effective Date: December 29, 2025
Impact Assessment
Market Impact: Limited to holders of the specific debt securities mentioned. The suspension is procedural and relates to scheduled redemption activities.
Operational Impact: Trading members need to update their systems to prevent trading in the suspended ISINs from December 29, 2025.
Investor Impact: Investors holding these securities will receive redemption proceeds as per the terms of the instruments. No adverse impact expected as suspensions are due to normal redemption processes.
Impact Justification
Routine suspension of debt securities due to scheduled redemption affecting specific institutional issuers, limited impact on equity markets