Description

NSE Clearing circular on early pay-in process for DHARIWAL securities due to face value split from Rs 10 to Re 2 per share with effect from February 6, 2026.

Summary

NSE Clearing Limited has issued instructions for early pay-in of securities for Dhariwalcorp Limited (DHARIWAL) in connection with a face value split from Rs 10 per share to Re 2 per share. The circular specifies the process for members and custodians to execute early pay-in using old and new ISIN codes during the corporate action transition period.

Key Points

  • Face value split from Rs 10 per share to Re 2 per share for Dhariwalcorp Limited (DHARIWAL)
  • Ex-date and Record date: February 6, 2026
  • Existing/Old ISIN: INE0YRN01017
  • Members must use old ISIN for early pay-in on specific dates without adjusting for conversion
  • For settlement number 2026026 (EPI date: Feb 6, 2026): use old ISIN
  • For settlement numbers 2026026 & 2026027 (EPI date: Feb 9, 2026): old ISIN on Feb 6, new ISIN on Feb 9
  • Conversion ratio: For sale of 10 shares (new), early pay-in should be 2 shares (old)
  • Block mechanism requirements apply as per NCL circular NCL/CMPT/53386 dated August 22, 2022
  • Client-wise allocation file should NOT be uploaded when using block mechanism

Regulatory Changes

No new regulatory changes. This circular implements existing procedures outlined in Item 10.18 ‘Early Pay-in of Securities for Margin Exemption’ from consolidated circular NCL/CMPT/67751 dated April 29, 2025.

Compliance Requirements

  • Members/Market Participants: Execute early pay-in instructions in old ISIN (INE0YRN01017) for ex-date/record date (Feb 6, 2026) without adjusting for split ratio
  • Members using Block Mechanism: Adhere to SEBI circular on block mechanism in demat accounts; do NOT upload client-wise early pay-in allocation file
  • Custodians using Pool Account: Must upload client-wise early pay-in allocation details based on actual traded quantity (post-split quantity)
  • Post Record Date: Execute pay-in/early pay-in instructions in new ISIN after February 6, 2026

Important Dates

  • February 6, 2026: Ex-date and Record date for face value split
  • February 6, 2026: EPI date for settlement number 2026026 (use old ISIN)
  • February 9, 2026: EPI date for settlement numbers 2026026 & 2026027 (use new ISIN)

Impact Assessment

Operational Impact: Medium - Members and custodians trading DHARIWAL must carefully follow the specified ISIN usage during the transition period to ensure proper settlement. Incorrect ISIN usage could result in settlement failures or loss of margin exemption benefits.

Market Impact: Low - Limited to participants trading DHARIWAL security during the corporate action period.

Process Impact: Members must distinguish between old and new ISIN based on settlement dates and adjust quantities appropriately (5:1 split ratio). Custodians using pool accounts have additional reporting obligations for client-wise allocations.

Impact Justification

Specific procedural guidance for members trading DHARIWAL during face value split; affects settlement process and early pay-in mechanism for this security only