Description

NSE announces securities being added to ESM Stage I and publishes consolidated list of all securities under Enhanced Surveillance Measure framework effective April 01, 2026.

Summary

NSE has issued a circular on the applicability of the Enhanced Surveillance Measure (ESM) framework effective April 01, 2026. Two new securities — Gayatri Projects Limited (GAYAPROJ) and Premier Polyfilm Limited (PREMIERPOL) — are being added to ESM Stage I. No securities are moving between Stage I and Stage II, and no securities are being excluded from the ESM framework. The consolidated list includes 14 securities in Stage II and over 26 securities in Stage I.

Key Points

  • 2 new securities added to ESM Stage I effective April 01, 2026: GAYAPROJ (Gayatri Projects Limited) and PREMIERPOL (Premier Polyfilm Limited)
  • Premier Polyfilm Limited (PREMIERPOL) will also move from EQ/SM group to BE/ST group effective April 02, 2026
  • No securities are moving from ESM Stage I to Stage II or vice versa
  • No securities are being excluded from the ESM framework
  • Consolidated ESM list contains 14 securities in Stage II and multiple securities in Stage I
  • Stage II securities include: ABMINTLLTD, ASCOM, CURAA, GSTL, KSR, PARASPETRO, S&SPOWER, SANGINITA, TAKE, TGL, UCL, UNIVPHOTO, VILINBIO, VIPULLTD

Regulatory Changes

Under the ESM framework, shortlisted securities are subject to enhanced surveillance conditions including:

  • Trade-for-trade (T2T) settlement
  • Additional margin requirements
  • Price band restrictions

PREMIERPOL will undergo a group migration from EQ/SM to BE/ST effective April 02, 2026, in addition to ESM Stage I placement.

Compliance Requirements

  • Trading members must note the revised surveillance classification for all securities listed in Annexures I and II
  • All trades in ESM-listed securities must comply with applicable trade-for-trade settlement norms
  • Members should update client-facing systems and risk parameters to reflect new ESM inclusions effective April 01, 2026
  • Group change for PREMIERPOL (EQ/SM → BE/ST) must be reflected from April 02, 2026

Important Dates

  • April 01, 2026: ESM Stage I additions effective (GAYAPROJ, PREMIERPOL)
  • April 02, 2026: PREMIERPOL group migration from EQ/SM to BE/ST effective

Impact Assessment

The addition of GAYAPROJ (Gayatri Projects Limited) and PREMIERPOL (Premier Polyfilm Limited) to ESM Stage I will impose trade-for-trade settlement and heightened margin requirements on these securities, reducing liquidity and increasing transaction costs for investors. PREMIERPOL faces a dual impact — ESM inclusion and group change — effective on consecutive trading days, which may cause significant volatility. The broader consolidated ESM list (40+ securities) highlights ongoing regulatory scrutiny of smaller/mid-cap securities. Investors and trading members holding or dealing in these securities should reassess their exposure and risk management strategies accordingly.

Impact Justification

Directly affects trading conditions for multiple listed securities; ESM placement restricts trading to trade-for-trade settlement and imposes price bands, significantly impacting liquidity and investor activity across 40+ stocks.