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Titan Company inches up after RBI allows RFPIs to buy up to 35% stake

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Capital Market
Last Updated : Dec 11 2015 | 1:28 PM IST

Titan Company rose 0.79% to Rs 365.55 at 11:43 IST on BSE after the Reserve Bank of India notified that registered foreign portfolios investors can now invest up to 35% of the paid up capital of the company.

Meanwhile, the S&P BSE Sensex was down 109.72 points or 0.43% at 25,142.60

On BSE, so far 20.14 lakh shares were traded in the counter as against average daily volume of 63,184 shares in the past one quarter.

The stock hit a high of Rs 378 and low of Rs 364.15 so far during the day. The stock had hit a record high of Rs 448 on 3 February 2015. The stock had hit a 52-week low of Rs 303 on 1 October 2015.

The stock had outperformed the market over the past one month till 10 December 2015, rising 2.86% compared with 1.91% decline in the Sensex. The scrip also outperformed the market in past one quarter, gaining 11.17% as against Sensex's 1.44% decline.

The large-cap company has an equity capital of Rs 88.78 crore. Face value per share is Re 1.

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The Reserve Bank of India (RBI) after market hours yesterday, 10 December 2015 notified that foreign institutional investors (FIIs)/registered foreign portfolios investors (RFPIs) can now invest up to 35% of the paid up capital of Titan Company under the Portfolio Investment Scheme (PIS). RBI further advised that the foreign shareholding by FIIs/RFPIs in Titan Company has gone below the revised threshold limit. Hence, the restrictions placed on the purchase of the company's shares are withdrawn with immediate effect, the RBI said.

The RBI stated that the company has passed resolutions at its board of directors' level and a special resolution by the shareholders, agreeing for enhancing the limit for the purchase of its equity shares and convertible debentures by FIIs/RFPIs. The purchases could be made through primary market and stock exchanges, RBI said.

Total FII holding in Titan Company stood at 21.07% as per the shareholding pattern as on 30 September 2015.

Titan Company's net profit fell 39.4% to Rs 145.39 crore on 25.5% decline in net sales to Rs 2654.66 crore in Q2 September 2015 over Q2 September 2014.

Titan Company is into eyewear, watches and jewellery making business.

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First Published: Dec 11 2015 | 11:56 AM IST

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