Bajaj Corp gains on board nod to hike in FII limit

The stock rallied 6% to Rs 334 on NSE after board approved to increase the FII limit from 24% to 49%.

Shares of Bajaj Corp has moved higher by 6% to Rs 334 on National Stock Exchange (NSE) after the company said that its board approved to increase the aggregate investment limit of Foreign Institutional Investors (FIIs) from 24% to 49% of the paid-up equity capital.

“The board of directors of the company at its meeting held on November 28, 2014, has passed necessary resolution for increase in the limit of total holding of all Registered Foreign Portfolio Investors (“RFPI”) with existing class of investors namely Foreign Institutional Investors (“FIIs”) and Qualified Foreign Investors (“QFIs”) registered with SEBI in respect of their existing shareholding in the Company, put together in equity share capital of the company from existing 24% to 49%,” Bajaj Corp said in a statement.

The board has also approved convening an Extraordinary General Meeting (EGM) of the shareholders of the company on December 30, 2014 to seek shareholders approval for the aforesaid increase in limit from existing 24% to 49%, it added.

As of September 2014, FIIs held 15.21% stake in the personal products company, the shareholding pattern data shows.

The stock opened at Rs 317 and hit a high of Rs 335 on NSE. A combined 689,259 shares changed hands on the counter till 1322 hours on NSE and BSE.