It happens like this only because you are getting margin benefits for nrml spreads. You can exit both legs and then place Mis orders if the contract is liquid enough.
Yeah, also for hedged position we can’t to convert to mis as it break hedge during the conversion. Also in mis we block 100% of exposure, not much additional benefit will be available in mis, so wondering why you want to convert?
I thought I will be getting some margin released for MIS orders, if not no issues. Thanks for help @siva 