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IDFC cuts foreign stake limit to 50 pc

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Press Trust of India Mumbai
Last Updated : Aug 11 2014 | 8:25 PM IST
New banking licensee IDFC has agreed to further cut foreign shareholding limit by 0.5 percentage points to 50 per cent, the Reserve Bank said today.
In a notification, RBI today said IDFC Ltd has agreed to decrease the limit for Foreign Institutional Investors (FIIs)/ Registered Foreign Portfolios Investors (RFPIs) for purchase of its equity shares and convertible debentures to 50 per cent.
Earlier limit for such investments in IDFC was 50.50 per cent.
"Further, Reserve Bank advised that IDFC Limited will remain included in the bank list for FIIs/RFPIs," it said in a release.
IDFC has been gradually paring the foreign shareholding limit to meet the pre-requisite of bringing it down to 49 per cent to run banking services. It will launch banking services from October next year.
Shares of the company today closed 1.83 per cent up at Rs 147.10 per scrip on the BSE.

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First Published: Aug 11 2014 | 8:25 PM IST

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