The Reserve Bank has allowed foreign investors to hike their stake in Grasim Industries to up to 49 per cent from the existing limit of 30 per cent.
Foreign Institutional Investors (FIIs)/Foreign Portfolios Investors (FPIs) can now invest from 30 per cent to 49 per cent of the paid up capital of Grasim Industries Limited under the portfolio investment scheme (PIS), RBI said.
Grasim Industries passed a resolution at board of directors level and also a special resolution to up FIIs/FPIs' investment to up to 49 per cent.
FIIs, NRIs and PIOs (Persons of Indian Origins) can invest in primary and secondary capital markets in India through PIS.
RBI monitors ceilings on FII/NRI/PIO investments in Indian companies on a daily basis. It has fixed the cut-off points two percentage points lower than the actual ceiling.
Stock of Grasim Industries closed 2.04 per cent down at Rs 1,049.95 on BSE today.
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