Description

NSE updates the list of securities under its high-encumbrance surveillance measure per SEBI SAST Regulation 28(3): 3 securities added with 35% minimum margin requirement effective May 08, 2026, and 9 securities excluded effective May 06, 2026.

Summary

NSE’s Surveillance Department (Circular Ref. No. 324/2026, Download Ref No. NSE/SURV/74052) issued on May 05, 2026, updates the list of securities under its high-encumbrance surveillance framework as per Regulation 28(3) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations 2011. Three securities are added to the framework with a minimum 35% margin requirement, while nine securities are removed. A consolidated list of 10 securities currently under the framework is also provided.

Key Points

  • 3 securities added (Annexure I): BLKASHYAP, NRBBEARING, RTNPOWER – subject to minimum 35% margin in Equity and Equity Derivatives segments from May 08, 2026
  • 35% margin applies to all open positions as on May 07, 2026, and all new positions created from May 08, 2026
  • 9 securities excluded (Annexure II): AFCONS, COHANCE, EUREKAFORB, HINDZINC, MSPL, SAGCEM, THYROCARE, VERANDA, VIKRAMSOLR – exit effective May 06, 2026
  • Consolidated active list (Annexure III) contains 10 securities: AAVAS, BLKASHYAP, GENUSPOWER, HEXT, NRBBEARING, PATELENG, RTNPOWER, SAGILITY, TRUALT, VENTIVE
  • This measure operates alongside all other prevailing surveillance measures and is subject to periodic review
  • Inclusion is purely a surveillance action and must not be construed as adverse action against the concerned company

Regulatory Changes

This circular continues the framework established under NSE/SURV/42507 (October 24, 2019) and NSE/SURV/44169 (April 17, 2020). The update reflects a periodic review of promoter encumbrance disclosures filed under Reg. 28(3) of the SEBI (SAST) Regulations 2011, which requires promoters to disclose pledging or encumbrance of shares above specified thresholds.

Compliance Requirements

  • Trading Members must ensure minimum 35% margin is collected/maintained for the three newly added securities (BLKASHYAP, NRBBEARING, RTNPOWER) in Equity and Equity Derivatives segments from May 08, 2026
  • Margin applies to both open positions held as of end-of-day May 07, 2026, and new positions initiated from May 08, 2026
  • Members may accept company representations regarding inclusion; the circular notes a process exists for such representations
  • This surveillance measure is additive – it does not replace other applicable surveillance margins

Important Dates

  • May 05, 2026: Circular issuance date
  • May 06, 2026: Effective date for exclusion of 9 securities (Annexure II)
  • May 07, 2026: Reference date for existing open positions subject to the new 35% margin
  • May 08, 2026: Effective date for inclusion of 3 new securities (Annexure I) with 35% minimum margin

Impact Assessment

Added Securities (higher margin burden from May 08, 2026):

SymbolSecurity NameISIN
BLKASHYAPB. L. Kashyap and Sons LimitedINE350H01032
NRBBEARINGNRB Bearing LimitedINE349A01021
RTNPOWERRattanIndia Power LimitedINE399K01017

Excluded Securities (margin relief from May 06, 2026):

SymbolSecurity NameISIN
AFCONSAfcons Infrastructure LimitedINE101I01011
COHANCECohance Lifesciences LimitedINE03QK01018
EUREKAFORBEureka Forbes LimitedINE0KCE01017
HINDZINCHindustan Zinc LimitedINE267A01025
MSPLMSP Steel & Power LimitedINE752G01015
SAGCEMSagar Cements LimitedINE229C01021
THYROCAREThyrocare Technologies LimitedINE594H01019
VERANDAVeranda Learning Solutions LimitedINE0IQ001011
VIKRAMSOLRVikram Solar LimitedINE078V01014

The elevated 35% margin requirement increases the cost of carrying or initiating positions in the three newly included securities, which may reduce liquidity and trading volumes in those counters. The nine exclusions provide margin relief to traders and investors holding those securities. The measure is neutral in intent – it is a regulatory risk-management tool and not indicative of any fundamental adverse development at the listed companies.

Impact Justification

Routine periodic surveillance update affecting margin requirements for a defined set of securities; directly impacts trading costs and positions for members holding or trading these stocks in Equity and Equity Derivatives segments.