CIRCULAR
SEBI/HO/MRD/POD-III/CIR/P/2025/134 October 08, 2025
To
All Recognized Stock Exchanges
All Recognized Clearing Corporations
All Depositories
Sir/Madam,
Subject: Review of Block Deal Framework
1. Paragraph 1.2 of Chapter 1 of SEBI Master Circular No. SEBI/HO/MRD-
PoD2/CIR/P/2024/00181 dated December 30, 2024 for “Stock Exchanges and
Clearing Corporations” contains provisions with respect to the Block Deal
Framework on the stock exchange platform. Further, Paragraph 3.5 of SEBI Circular
No. SEBI/HO/MRD/MRD-PoD-3/P/CIR/2024/172 dated December 10, 2024 on
“Enhancement in the scope of optional T+0 rolling settlement cycle in addition to the
existing T+1 settlement cycle in Equity Cash Markets” prescribes for a block deal
window under the optional T+0 settlement cycle in addition to the block deal windows
under the T+1 settlement cycle.
2. Based on the recommendations of the Working Group, deliberations in Secondary
Market Advisory Committee of SEBI (SMAC) and public comments received, it has
been decided to modify the existing Block Deal Framework. Accordingly, the
provisions under Paragraph 1.2 of Chapter 1 of the above mentioned Master Circular
and Paragraph 3.5 of SEBI Circular dated December 10, 2024 stand modified as
under:
2.1. Block deal is execution of large trades through a single transaction without putting
either the buyer or seller in a disadvantageous position. The Stock Exchanges may
set their trading hours between 08:45 AM to 05:00 PM and for the Block deal
Page 1 of 3
mechanism, stock exchanges are permitted to provide a separate trading
window(s).
2.2. The Block Deal Framework will be subject to the following conditions:
2.2.1. Block Deal Windows:
2.2.1.1. Morning Block Deal Window: This window shall operate between the trading
hours of 08:45 AM to 09:00 AM. The reference price for execution of block
deals in this window shall be the previous day closing price of the stock.
2.2.1.2. Afternoon Block Deal Window: This window shall operate between 02:05 PM
to 2:20 PM. The reference price for block deals in this window shall be the
volume weighted average market price (VWAP) of the trades executed in the
stock in the cash segment between 01:45 PM to 02:00 PM. Between the
period 02:00 pm to 02:05 pm, the stock exchanges shall calculate and
disseminate necessary information regarding the VWAP applicable for the
execution of block deals in the Afternoon block deal window.
2.2.2. Price Range: The orders placed shall be within +3% of the applicable reference
price in the respective windows as stated above, subject to surveillance
measures and applicable price bands.
2.2.3. Order Size: The minimum order size for execution of trades in the block deal
windows shall be INR 25 Crores. Every trade executed in the block deal
windows must result in delivery and shall not be squared off or reversed.
2.2.4. The stock exchanges shall disseminate the information on block deals such as
the name of the scrip, name of the client, quantity of shares bought/sold, traded
price, etc. to the general public on the same day, after the market hours.
2.2.5. The above provisions shall also be applicable for the block deal window under
the optional T+0 settlement cycle.
Page 2 of 3
2.2.6. Stock Exchanges, Clearing Corporations and Depositories shall ensure that all
appropriate trading and settlement practices as well as surveillance and risk
containment measures, etc., as applicable to the normal trading segment, shall
be applicable and implemented in respect of Block Deal windows also.
3. Applicability: The provisions of the circular shall be applicable from the 60th day of
issuance of the circular.
4. All MIIs are advised to:
4.1. take necessary steps and put in place necessary systems for implementation of the
above.
4.2. make necessary amendments to the relevant byelaws, rules and regulations,
wherever required, for the implementation of the above; and.
4.3. bring the provisions of this circular to the notice of the market participants (including
investors) and disseminate the same on their website.
5. This circular is issued in exercise of the powers conferred under section 11(1) of the
Securities and Exchange Board of India Act 1992 read with Regulation 51 of the
Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations)
Regulations, 2018 and section 26(3) of the Depositories Act, 1996 read with
Regulation 97 of Securities and Exchange Board of India (Depositories and
Participants) Regulations, 2018 to protect the interests of investors in securities and
to promote the development of, and to regulate the securities market.
6. This circular is available on SEBI website at www.sebi.gov.in at “Legal Framework -
Circulars.”
Yours faithfully,
Lamber Singh
Deputy General Manager
Tel. No. 022-26449667
Email: lambers@sebi.gov.in
Page 3 of 3