Ess Dee Aluminium Ltd shares gain, RBI lifts FII limit

Comments 0
As per BSE data, FIIs had stake of 24.25 pct in Kajaria till November 11, 2013. As per BSE data, FIIs had stake of 24.25 pct in Kajaria till November 11, 2013.
SummaryAs per BSE data, FIIs had stake of 24.25 pct in Kajaria till November 11, 2013.

Shares of Ess Dee Aluminium Ltd gain 7.6 percent, having earlier risen as much as 9.7 percent, after the central bank on Monday allowed the company to increase foreign investment limit on its shares.

The limit on investments in Ess Dee's equity shares and convertible debt by foreign institutional investors through the primary or secondary markets was raised to 100 percent, the RBI said.

Non-resident Indians (NRI) and Persons of Indian Origin (PIO) can invest in up to 24 percent of Ess Dee's paid-up capital, according to the RBI.

RBI allows FIIs to increase stake in Ess Dee Aluminium to 100 pct

(PTI) Reserve Bank today allowed foreign institutional investors (FIIs) to increase stake in Ess Dee Aluminium up to 100 per cent and up to 24 per cent by NRIs.

"...Ess Dee Aluminium Ltd. has passed resolutions to enhance the limit for purchase of its equity shares and convertible debentures by FIIs through primary market and stock exchanges up to 100 per cent and by NRIs/PIOs up to 24 per cent of its paid up capital, under the Portfolio Investment Scheme (PIS)," RBI said in a notification.

FIIs, Non-Resident Indians (NRIs), and Persons of Indian Origin (PIOs) are allowed to invest in the primary and secondary capital markets in India through the portfolio

investment scheme (PIS).

Under this scheme, FIIs/NRIs can acquire shares/debentures of Indian companies through the stock exchanges in India.

FII investment can be raised up to sectoral cap/statutory ceiling, subject to the approval of the board and the general body of the company passing a special resolution to that effect.

In a separate notification, RBI said also allowed the FIIs to raise their stake in Kajaria Ceramics to 40 per cent.

"RBI today notified that Kajaria Ceramics...to enhance the limit for purchase of its equity shares and convertible debentures by FIIs, through primary market and stock exchanges, under the PIS up to 40 per cent of its paid up capital."

The foreign share holding by FIIs in Kajaria Ceramics have gone below the revised threshold limit stipulated under the extant FDI Policy, RBI said.

"Hence, the restrictions placed on the purchase of shares of the above company are withdrawn with immediate effect."

As per BSE data, FIIs had stake of 24.25 per cent in Kajaria till November 11, 2013.

Ads by Google
Reader´s Comments
| Post a Comment
Please Wait while comments are loading...