Comments
Reserve Bank today said the aggregate ceiling for foreign investors to invest in Ujjivan Financial Services will remain at 49 per cent.
In view of listing of shares of the company, Ujjivan Financial Services Ltd on stock exchange, the aggregate investment ceiling for Foreign Institutional Investor /Registered Foreign Portfolios Investors investment under Portfolio Investment Scheme shall remain at 49 per cent, RBI said in a notification.
It further said the aggregate limit for NRI investment shall not exceed 10 per cent.
“The total foreign investment from all sources...in the company shall not exceed 49 per cent,” it said.
The microfinance company recently witnessed robust demand for its recently—concluded IPO. The shares of the company will be listed on the bourses tomorrow.
The company had received in—principle nod from RBI to set up a small finance bank.
Companies which have received RBI in-principle approval to set up a small finance bank, need to bring down their foreign shareholding to 49 per cent.
Ujjivan is the second microfinance firm to go public this fiscal, to bring down its foreign shareholding.
Another microfinance firm Equitas Holdings came out with its IPO last month.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.