Shares of Wockhardt, Mastek, SKS Microfinance, Heidelberg Cement India and Fame India have tanked more than 5% each after the Bombay Stock Exchange (BSE) has decided to shift these stocks to trade-to-trade (T2T) segment.
"As a part of Surveillance measure the exchange transfers various scrips for settlement on a T2T basis. The BSE will shift 74 stocks to the T2T segement effective from August 31, 2012,” the exchange said in a notice dated August 27, 2012.
If a scrip is shifted for settlement on T2T basis, selling/ buying of shares in that scrip results into giving/ taking delivery of shares at the gross level and no intra day netting off/ square off facility is permitted.
“As a part of Surveillance measure the exchange transfers various scrips for settlement on a Trade-to-Trade basis. The said action is reviewed at periodic intervels (fortnightly & quarterly) based on market capitalization, price earnings ratio, price variation vis-à-vis the market movement, volatility, volume variation, client concentration and number of non promoter shareholders etc,” the BSE said in release.
Institutions usually do not hold T2T stocks, according to market experts.
Among the individual stocks, SKS Microfinance has tanked 14% to Rs 103, followed by Fame India dipped 10% at Rs 47, Wockhardt slipped 8% at Rs 1,110, Mastek down 7% at Rs 146 and HeidelbergCement India down 5% at Rs 40.10 on the NSE.