Mumbai: Foreign investors cannot buy further shares in non-banking finance firm Capital First as FIIs/FPIs have crossed the maximum permissible investment limit, RBI said on Wednesday.
The foreign shareholding through foreign institutional investors (FIIs)/foreign portfolios investors (FPIs) in Capital First has crossed limit of 24% of its paid-up capital, Reserve Bank (RBI) said in a notification.
“Therefore, no further purchase of shares of this company would be allowed through stock exchanges in India on behalf of FIIs/FPIs," RBI said.
As on 30 June 2017 foreign portfolio investors held a total of 25.69% in the company, according to data on BSE. FIIs, NRIs and PIOs (Persons of Indian Origins) can invest in primary and secondary capital markets in India through portfolio investment scheme (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 Capital First closed 0.67% up at Rs766.10 on BSE today.