HSIL Ltd shares gained 5.4 per cent, heading towards their best gain since March 12.
The RBI has allowed overseas investors to buy up to 40 per cent in HSIL.
RBI regularly prevents FIIs from buying shares in companies if they approach the limit stipulated by regulations and then re-adjusts once foreign ownership falls below the prescribed level.
At 10.18 am the share had edged down to hold gains of 4.38 per cent at Rs 416.