Description

NSE announces inclusion of Tera Software and Tree House Education in Long Term ASM Stage I, and movement of Sadhana Nitrochem from Stage I to Stage II, effective February 25, 2026, with 100% margin requirement from February 27, 2026.

Summary

NSE has issued an update under the Long Term Additional Surveillance Measure (ASM) framework, shortlisting new securities for inclusion and announcing stage movements. Two securities — Tera Software Limited (TERASOFT) and Tree House Education & Accessories Limited (TREEHOUSE) — are newly included in Stage I, while Sadhana Nitrochem Limited (SADHNANIQ) moves from Stage I to Stage II, all effective February 25, 2026. A 100% margin requirement applies from February 27, 2026.

Key Points

  • Tera Software Limited (TERASOFT, INE482B01010) newly added to Long Term ASM Stage I w.e.f. February 25, 2026
  • Tree House Education & Accessories Limited (TREEHOUSE, INE040M01013) newly added to Long Term ASM Stage I w.e.f. February 25, 2026
  • Sadhana Nitrochem Limited (SADHNANIQ, INE888C01040) moved from Long Term ASM Stage I to Stage II w.e.f. February 25, 2026
  • No securities shortlisted for Stage IV inclusion or Stage II to III / Stage I to IV movements (all Nil)
  • 100% margin applicable on all open positions as on February 26, 2026 and new positions from February 27, 2026 onwards
  • Securities qualifying under Criteria VII (Stage IV) would shift from Rolling Settlement (Series: EQ) to Trade-for-Trade (Series: BE) — not applicable in this instance

Regulatory Changes

The circular is issued in reference to earlier Exchange Circulars: NSE/SURV/39265, NSE/SURV/45111, NSE/SURV/46557, NSE/SURV/48506, NSE/SURV/52090, NSE/SURV/63362, and NSE/SURV/64066. The ASM framework continues to be applied in conjunction with all other prevailing surveillance measures. Shortlisting under ASM is purely on account of market surveillance and should not be construed as an adverse action against the concerned company or entity.

Compliance Requirements

  • Members must ensure 100% margin is collected on all open positions in ASM-listed securities as on February 26, 2026
  • For new positions created from February 27, 2026 onwards in these securities, 100% margin must be maintained
  • Members should update their systems to reflect the stage changes for TERASOFT, TREEHOUSE, and SADHNANIQ
  • For queries, members may contact surveillance@nse.co.in

Important Dates

  • February 24, 2026: Circular issuance date
  • February 25, 2026: Effective date for inclusion/stage movement of shortlisted securities under Long Term ASM
  • February 26, 2026: Reference date for open positions subject to 100% margin
  • February 27, 2026: 100% margin requirement comes into effect for open positions and new positions

Impact Assessment

Traders and investors holding positions in TERASOFT, TREEHOUSE, and SADHNANIQ will face significantly higher margin requirements (100%) from February 27, 2026, which may lead to forced position reductions or additional capital infusion. The Stage II escalation for SADHNANIQ signals continued regulatory scrutiny. No securities have been moved to Stage IV in this circular, so no Trade-for-Trade segment shifts are triggered this time. Market participants should review their exposure to these securities ahead of the February 26, 2026 deadline.

Impact Justification

Direct trading restrictions including 100% margin requirement and potential segment shift from EQ to BE series affect specific securities and their traders immediately.