Description
NSE updates the list of securities under surveillance measure for high promoter encumbrance as per SEBI SAST Regulation 28(3), adding 6 securities effective April 8, 2026 and removing 3 securities effective April 6, 2026.
Summary
NSE’s Surveillance Department (Circular Ref. No. 238/2026) has updated the list of securities subject to the surveillance measure applicable to companies with high promoter encumbrance under Regulation 28(3) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Six new securities are being added to the framework effective April 8, 2026, while three securities are being removed effective April 6, 2026. This is a continuation of earlier circulars NSE/SURV/42507 (October 24, 2019) and NSE/SURV/44169 (April 17, 2020).
Key Points
- 6 securities added to the surveillance framework (Annexure I), attracting a minimum 35% margin in Equity and Equity Derivatives segments effective April 8, 2026
- The 35% margin applies to all open positions as on April 07, 2026 and all new positions created from April 08, 2026
- 3 securities removed from the framework (Annexure II) effective April 6, 2026
- This surveillance measure operates in conjunction with all other prevailing surveillance measures imposed by the exchanges
- Inclusion in the framework is purely for market surveillance purposes and should not be construed as adverse action against the company
- Companies may submit representations to the exchange by 5:00 PM on April 6, 2026
Regulatory Changes
The circular updates the securities list under the existing surveillance framework established per SEBI (SAST) Regulation 28(3), which mandates monitoring of companies where promoters have pledged or encumbered a significant portion of their shareholding. No new regulatory framework is introduced; this is a periodic review and update of the existing mechanism.
Compliance Requirements
- Trading Members must ensure a minimum 35% margin is collected for the newly added securities in both Equity and Equity Derivatives segments from April 8, 2026
- Members must apply the margin to all open positions existing as of April 7, 2026
- Members must apply the margin to all new positions created from April 8, 2026 onwards
- Companies wishing to contest their inclusion must submit representations to NSE by 5:00 PM on April 6, 2026
- Queries can be directed to surveillance@nse.co.in
Important Dates
| Date | Event |
|---|---|
| April 2, 2026 | Circular issued |
| April 6, 2026 | Deadline for company representations; 3 securities (Annexure II) exit the framework |
| April 7, 2026 | Last date for open positions subject to the new 35% margin requirement |
| April 8, 2026 | Minimum 35% margin becomes effective for 6 newly added securities |
Impact Assessment
Newly Added Securities (Effective April 8, 2026 — Annexure I):
| Sr. No. | Symbol | Security Name | ISIN |
|---|---|---|---|
| 1 | AAVAS | Aavas Financiers Limited | INE216P01012 |
| 2 | PATELENG | Patel Engineering Limited | INE244B01030 |
| 3 | SAGCEM | Sagar Cements Limited | INE229C01021 |
| 4 | THYROCARE | Thyrocare Technologies Limited | INE594H01019 |
| 5 | VENTIVE | Ventive Hospitality Limited | INE781S01027 |
| 6 | VERANDA | Veranda Learning Solutions Limited | INE0IQ001011 |
Securities Exiting Framework (Effective April 6, 2026 — Annexure II):
| Sr. No. | Symbol | Security Name | ISIN |
|---|---|---|---|
| 1 | ARTEMISMED | Artemis Medicare Services Limited | INE025R01021 |
| 2 | JAYNECOIND | Jayaswal Neco Industries Limited | INE854B01010 |
| 3 | VEDL | Vedanta Limited | INE205A01025 |
The elevated margin requirement (35%) will likely reduce leveraged trading activity in the affected securities and may exert downward pressure on their prices in the short term as traders unwind or reduce positions to meet margin requirements. The removal of VEDL, ARTEMISMED, and JAYNECOIND from the framework may provide relief to traders in those securities. The measure is subject to periodic review by NSE.
Impact Justification
Directly affects trading margins (minimum 35%) for specific securities in both equity and equity derivatives segments, impacting trading members and market participants holding or creating positions in the listed securities.