Jubilant Foodworks share price falls, RBI limits FIIs investment

Reuters Posted online: Thursday, Jan 09, 2014 at 0000 hrs
Jubilant Foodworks Ltd share price fell 2.4 percent after the central bank on Wednesday said aggregate net purchases of equity shares in the company by foreign institutional investors (FIIs) had reached the prescribed limit.

Jubilant Foodworks operates the Domino's Pizza franchise in India

Accordingly, further purchases of equity shares of the company would be allowed only after obtaining prior approval from the Reserve Bank of India, it added.

FIIs held 45.35 percent in Jubilant Foodworks as of September 30, 2013, exchange data shows.

The RBI regularly prevents FIIs from buying shares in companies if they are approaching the limit stipulated by regulations and will then re-adjust once foreign ownership falls below the prescribed level.