MSTC Share Price Hits 20% Upper Circuit; RBI Gives In-Principle Approval for TReDS Business

MSTC is looking to enter the TReDS business after receiving in-principle approval from the Reserve Bank of India, as per the exchange filing. The approval came through an RBI letter dated November 11, 2026, which the company received on the same day. 

MSTC informed the stock exchanges about the development on November 12. The proposed platform will operate under the Payment and Settlement Systems Act, 2007. 

What Is TReDS and Why Is It Used? 

Small businesses often have to wait for their buyers to clear invoices. This can leave them short of money even after supplying goods or completing work. 

TReDS helps address this problem. An MSME can put its unpaid invoice on the platform, where banks and other financiers can bid for it. The business gets its money earlier, while the financier collects the payment from the buyer later. 

MSTC Yet to Start Operations 

The RBI has given MSTC only an in-principle authorisation at this stage. The company still has to meet the conditions mentioned in the regulator's letter before it can operate the platform. 

Following the approval, MSTC's board has asked the management to take the required steps to comply with the RBI's directions. The company has not announced a launch date for the platform. 

MSTC's September Quarter Results 

MSTC also released its results for the September quarter. Its standalone net profit rose to ₹74.61 crore from ₹49.15 crore in the same quarter last year. 

Total income increased to ₹139.21 crore, compared with ₹102.30 crore a year earlier. For the first half of FY27, the company reported a net profit of ₹132.73 crore against ₹93.47 crore in the corresponding period last year. 

Read More: Zee Entertainment Share Price Rise 5%; Board to Consider Buyback and Interim Dividend on November 12, 2026! 

MSTC Share Price Performance 

As of November 13, 2026, at 10:22 AM, MSTC share price was locked at an upper circuit limit of ₹783.85 per share, reflecting a 20% surge from previous closing price. 

Conclusion 

The RBI approval puts MSTC a step closer to entering the TReDS business, but it still has to complete the required formalities. The company has not yet shared when the platform will go live. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.