By: Press Trust of India
| Mumbai |
Published:July 3, 2014 9:34 pm
Overseas investors can now buy up to 74 per cent of Bharti Airtel’s paid up capital, the Reserve Bank of India said.
“The RBI has today advised that foreign institutional investors (FIIs)/registered foreign portfolios investors can now invest up to 74 per cent of the paid up capital of Bharti Airtel Ltd under the portfolio investment scheme,” the central bank said today in a release.
The RBI said Airtel’s board of directors and shareholders have passed resolutions agreeing to increase the limit on the purchase of its equity shares and convertible debentures by FIIs. The purchases can be made through the primary market and through the stock exchanges.
The government last year allowed up to 100 per cent foreign shareholding in the telecom sector, increasing it from a cap of 74 per cent earlier.
FIIs held 16.39 per cent of Bharti Airtel’s shares as of March 31, according to data on the BSE website.
Shares of the telecom major closed at Rs 337.35 on the BSE, down 0.34 per cent.
FIIs, non-resident Indians and persons of Indian origin can invest in the primary and secondary capital markets in India through the portfolio investment scheme.
The RBI monitors ceilings on FII/NRI/PIO investments in Indian companies on a daily basis.