BSE to lower stock circuit limit of 12 companies from Feb 27

The five stocks are: Aanjaneya Lifecare, Bhagwati Banquets & Hotels, Gemini Communications, Sudar Industries

Leading stock exchange BSE today decided to lower circuit limit of scrips of 12 companies, including those which were hammered in the mid-cap crash yesterday.

The changes would effective from tomorrow, BSE said in a circular.

BSE has capped the maximum movement in a day at 10 per cent for five stocks --Aanjaneya Lifecare, Bhagwati Banquets & Hotels, Gemini Communications, Sudar Industries.

Besides, companies such as D B Realty, 7seas Technologies, Bhoruka Aluminium, Broadcast Initiatives, Vardhman Polytex and W H Brady & Co Ltd would be allowed an upward or downward movement of five per cent in day.

BSE also said circuit limit of Jolly Plastic Industries would be two per cent.

The exchanges generally lower the circuit filter of a stock as part of their surveillance mechanism to avoid excessive volatility in the share price.

Yesterday, about a dozen mid-cap and small-cap shares crashed, including Aanjaneya Lifecare which fell by 20 per cent, prompting market regulator Sebi to initiate a probe into panic selling triggered by speculation that pledged shares are being sold by certain entities.