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Foreign
Institutional Investors (FIIs), Non-Resident Indians (NRIs), and Persons of Indian
Origin (PIOs) are allowed to invest in the primary and secondary capital markets
in India through the portfolio investment scheme (PIS). Under this scheme, FIIs/NRIs
can acquire shares/debentures of Indian companies through the stock exchanges
in India.
The ceiling
for overall investment for FIIs is 24 per cent of the paid up capital of the Indian
company and 10 per centfor NRIs/PIOs. The limit is 20 per cent of the paid up
capital in the case of public sector banks, including the State Bank of India.
The
ceiling of 24 per cent for FII investment can be raised up to sectoral cap/statutory
ceiling, subject to the approval of the board and the general body of the company
passing a special resolution to that effect. And the ceiling of 10 per cent for
NRIs/PIOs can be raised to 24 per cent subject to the approval of the general
body of the company passing a resolution to that effect.
The
ceiling for FIIs is independent of the ceiling of 10/24 per cent for NRIs/PIOs.
The
equity shares and convertible debentures of the companies within the prescribed
ceilings are available for purchase under PIS subject to:
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the total purchase of all NRIs/PIOs both, on repatriation and non-repatriation
basis, being within an overall ceiling limit of (a) 24 per cent of the company's
total paid up equity capital and (b) 24 per cent of the total paid up value of
each series of convertible debenture; and
-
the investment made on repatriation basis by any single NRI/PIO in the equity
shares and convertible debentures not exceeding five per cent of the paid up equity
capital of the company or five per cent of the total paid up value of each series
of convertible debentures issued by the company.
Monitoring
Foreign Investments
The
Reserve Bank of India monitors the ceilings on FII/NRI/PIO investments in Indian
companies on a daily basis. For effective monitoring of foreign investment ceiling
limits, the Reserve Bank has fixed cut-off points that are two percentage points
lower than the actual ceilings. The cut-off point, for instance, is fixed at 8
per cent for companies in which NRIs/ PIOs can invest up to 10 per cent of the
company's paid up capital. The cut-off limit for companies with 24 per cent ceiling
is 22 per cent and for companies with 30 per cent ceiling, is 28 per cent and
so on. Similarly, the cut-off limit for public sector banks (including State Bank
of India) is 18 per cent.
Once
the aggregate net purchases of equity shares of the company by FIIs/NRIs/PIOs
reach the cut-off point, which is 2% below the overall limit, the Reserve Bank cautions all designated bank branches so as not to purchase any more equity
shares of the respective company on behalf of FIIs/NRIs/PIOs without prior approval
of the Reserve Bank. The link offices are then required to intimate the Reserve
Bank about the total number and value of equity shares/convertible debentures
of the company they propose to buy on behalf of FIIs/NRIs/PIOs. On receipt of
such proposals, the Reserve Bank gives clearances on a first-come-first served
basis till such investments in companies reach 10 / 24 / 30 / 40/ 49 per cent
limit or the sectoral caps/statutory ceilings as applicable. On reaching the aggregate
ceiling limit, the Reserve Bank advises all designated bank branches to stop
purchases on behalf of their FIIs/NRIs/PIOs clients. The Reserve Bank also
informs the general public about the `caution’ and the `stop purchase’ in these
companies through a press release.
The
current list of companies allowed to attract investments from FIIs/NRIs/PIOs with
their respective ceilings is:
List
of companies
List of companies
which have raised the ceiling from 10% in respect of NRIs investments under PIS (w.e.f. November 29, 2010)
Upto
24%
1 |
Alembic
Chemical Works Co. Ltd. |
2 |
Amar
Investments Ltd., Calcutta. |
3 |
Anglo-
India Jute Mills Co. Ltd. |
4 |
Arvind
Mills, Ahmedabad. |
5 |
Ashima
Syntex Ltd, Ahmedabad. |
6 |
Ashoka
Viniyoga Ltd. |
7 |
Bharat
Nidhi Ltd. |
8 |
BLB
Shares & Financial Services Ltd |
9 |
BPL
Ltd. |
10 |
Burr
Brown (India) Ltd |
11 |
Camac
Commercial Company Ltd. |
12 |
Ceenik
Exports (India) Ltd. |
13 |
Cifco
Finance Ltd., Mumbai. |
14 |
Classic
Financial Services & Enterprises Ltd, Calcutta. |
15 |
CPPL
Ltd, (Reliance Ind. Infrastructure Ltd) Mumbai. |
16 |
Crest
Communication Ltd. |
17 |
CRISIL |
18 |
DCM
Ltd. |
19 |
DCM
Shriram Consolidated Ltd. |
20 |
Dharani
Sugars & Chemicals Ltd |
21 |
Dolphin
Offshore Enterprises ( I ) Ltd. |
22 |
Emco
Ltd. |
23 |
Essar
Oil Ltd. |
24 |
Essar
Shipping Ltd., B’lore |
25 |
Essar
Steel Ltd. |
26 |
Eveready
Industries India Ltd. |
27 |
Fabworth
(I) Ltd. |
28 |
Federal
Bank Ltd. |
29 |
Ferro
Alloys Corporation Ltd., Tumsar. |
30 |
Gammon
India Ltd |
31 |
Grasim
Industries Ltd. |
32 |
GTL
Ltd.(formerly Global Tele-Systems Ltd.) |
33 |
GTL
Infrastructure Ltd |
34 |
Hamco
Mining & Smelting Ltd. |
35 |
HCL
Infosystems Ltd. |
36 |
HEG
Ltd |
37 |
Hindustan
Development Corp. Ltd, Calcutta. |
38 |
Hindustan
Nitroproducts (Gujarat) Ltd. |
39 |
Hindustan
Transmission Products Ltd., Mumbai |
40 |
HMG
Industries Ltd., Mumbai. |
41 |
Housing Development and Infrastructure Limited |
42 |
Indiabulls
Real Estate Ltd. |
43 |
India
bulls Securities Ltd. |
44 |
Indiabulls
Financial Services Ltd |
| 45 |
Indiabulls Power Limited
(formerly Sophia Power Company Limited) |
46 |
Igarashi
Motors India Ltd |
47 |
IVP
Ltd |
48 |
Jagatjit
Industries Ltd, |
49 |
Jai
Parabolic Springs Ltd. |
50 |
Jaysynth
Dyechem Ltd. |
51 |
Jindal
Strips Ltd. |
52 |
Jindal
Iron & Steel Co. Ltd. |
53 |
Jindal Saw Limited (formerly Saw Pipes Limited) |
54 |
JJ
Spectrum Silk Ltd. |
55 |
Kartjikeya
Paper & Boards Ltd. |
56 |
K
Sera Sera Productions Ltd |
57 |
Lakhani
India Ltd. |
58 |
M.P.
Agro Fertilisers Ltd., Bhopal. |
59 |
Macleod
Russel (I) Ltd. |
60 |
Matsushita
Television and Audio India Ltd. |
61 |
Max
India Ltd |
62 |
Mazda
Enterprises Ltd., Mumbai. |
63 |
Media
Video Ltd. |
64 |
Monnet
Ispat & Energy Limited |
65 |
Multimetals
Ltd., Mumbai |
66 |
Neha International Limited. |
67 |
National
Steel Industries Ltd. |
68 |
Nicholas
Laboratories India Ltd., Mumbai. |
69 |
Networth Stock Broking Limited |
70 |
Nava Bharat Ventures Limited |
71 |
O.P.
Electronics Ltd., Mumbai. |
72 |
Oriental
Housing Development Finance Corp. Ltd. |
73 |
Pabacea
Biotec Ltd. |
74 |
Padmini
Technologies Ltd. |
75 |
Pearl
Polymers Ltd., New Delhi. |
76 |
Piramal
Healthcare Ltd. |
77 |
PNB
Finance & Industries Ltd |
78 |
Rajath
Leasing & Finance Ltd. |
79 |
Rajesh
Exports Limited |
80 |
Rama
Petrochemicals Ltd. |
81 |
Rama
Phosphates Ltd. |
82 |
Reliance
Industries Ltd., Mumbai. |
83 |
Rishra
Investment Ltd., Calcutta |
84 |
Rossell
Industries Ltd., Calcutta. |
85 |
Sahu
Properties Ltd |
86 |
Sanghvi
Movers Ltd |
87 |
Saurashtra
Paper & Board Mills Ltd. |
88 |
Sayaji
Hotel Ltd. |
89 |
SB
& T International Ltd |
90 |
Sharyans
Resources Ltd. |
91 |
Shanti
Gears Ltd. |
92 |
Shibir
India Ltd., Calcutta |
93 |
Shrenuj
& Company Ltd. |
94 |
Shriram
Industries Enterprises Ltd., N. Delhi. |
95 |
Silverline
Industries Ltd. |
96 |
Sonata
Software Ltd. |
97 |
SRF
Ltd. |
98 |
Sterling
Lease Finance Ltd., Mumbai. |
99 |
Sujana
Metal Products Ltd |
100 |
Svam
Software Ltd. |
101 |
Synthetics
and Chemicals Ltd., Mumbai. |
102 |
Shrenuj & Company Limited |
103 |
The
Champdany Industries Ltd., Calcutta. |
104 |
The Dhanalakshmi Bank Limited |
105 |
The
Dharamsi Morarji Chemical Co. Ltd . |
106 |
The
Investment Trust of India Ltd. |
107 |
The
Morarjee Goculdas Spinning & Weaving Co Ltd, Mumbai. |
108 |
Tolani
Bulk Carrier Ltd. |
109 |
Unitech Limited. |
110 |
Uniworth
International Ltd. |
111 |
Vaibhav
Gems Ltd. |
112 |
Valecha
Engineering Ltd. |
113 |
VisualSoft
Technologies Ltd. |
114 |
Weltermann
International Ltd. |
115 |
Woolworth
(India) Ltd. |
| 116 |
Yes
Bank Ltd. |
| 117 |
Zora
Pharma Ltd. |
| 118 |
M/s. Redington(India) Ltd.(w.e.f. 29.11.2010) |
| 119 |
M/s. Compuage Infocom Limited (w.e.f. 4.3.2011) |
| 120 |
M/s. Kitex Garments Limited (w.e.f. 8.7.2011) |
| 121 |
M/s Indiabulls Wholesale Services Ltd (w.e.f. 26.08.2011) |
| 122 |
M/s Gitanjali Gems Ltd ( wef 16.09.2011) |
| 123 |
Everonn Education Limited ( w.e.f 6.1.2012) |
| 124 |
Indiabulls Infrastructure and Power Ltd ( w.e.f. 20.1.2012) |
| 125 |
M/s Crew B.O.S. Products Limited (w.e.f. 16-1-2013) |
| 126 |
M/s. Indiabulls Housing Finance Limited(w.e.f.19.03.2013) |
| 127 |
M/s. Shilchar Technologies Limited(w.e.f. 20.03.2013) |
Upto 17%
1 |
Garware
Shipping Corporation Ltd. |
LIST
OF COMPANIES IN WHICH FII INVESTMENT IS ALLOWED UPTO 30% OF THEIR PAID UP CAPITAL
UNDER PIS
1 |
Asian
Paints (India) Ltd |
2 |
Capital
Trust Ltd |
3 |
Container
Corporation of India |
4 |
Divi’s
Laboratories Ltd |
5 |
Ferro
Alloys Corporation Ltd |
6 |
Garware
Polyester Ltd |
7 |
GIVO
Ltd (formerly KB & T Ltd) |
8 |
Mahindra
Gesco Developers Ltd |
9 |
Orchid
Chemicals and Pharmaceuticals Ltd |
10 |
Penta
Soft Tec(Pentafour Communications Ltd) |
11 |
Polyplex
Corporation Ltd |
12 |
Ranbaxy
Laboratories Ltd |
13 |
Shasun
Chemicals Ltd |
14 |
Sonata
Software Ltd |
15 |
The
Paper Products Ltd |
16 |
Vikas
WSP Ltd |
| 17 |
The ING Vysya Bank Limited (w.e.f. 03-01-2013) |
LIST OF COMPANIES
IN WHICH FII INVESTMENT IS ALLOWED UPTO 40% OF THEIR Paid Up Capital
LIST OF COMPANIES IN WHICH FII INVESTMENT IS ALLOWED UPTO 49% OF THEIR Paid Up Capital
1 |
Alok
Industries |
2 |
Auribindo
Pharma Ltd. |
3 |
Arvind
Mills Ltd |
4 |
Balakrishna
Industries Ltd |
5 |
Blue
Dart Express Ltd |
6 |
CRISIL |
7 |
Digital
GlobalSoft Ltd. |
8 |
Dr.
Reddy’s Laboratories Ltd. |
9 |
D.
S. Kulkarni Developers Ltd. |
10 |
Federal
Bank Ltd. |
11 |
Financial
Technologies (I) Ltd |
12 |
HDFC
Bank Ltd |
13 |
Himachal
Futuristic Communications Ltd. |
14 |
Hindustan
Lever Ltd. |
15 |
Hughes
Software Ltd. |
16 |
ICICI
Bank Ltd. |
17 |
Ind-Swift
Laboratories Ltd. |
18 |
Karnataka
Bank Ltd. |
19 |
LIC
Housing Finance Ltd. |
20 |
Marksans
Pharma Ltd. |
21 |
Mahindra
& Mahindra Ltd. |
22 |
Mastek
Ltd |
23 |
Max India Ltd |
24 |
McDowell
& Co Ltd |
25 |
NIIT
Ltd. |
26 |
NIIT
Technologies Ltd. |
27 |
Panacea
Biotec Ltd. |
28 |
Reliance
Capital Ltd. |
29 |
Reliance
Energy Ltd. |
30 |
Reliance
Industries Ltd. |
31 |
Reliance
Petroleum Ltd. |
32 |
SB
& T International Ltd. |
33 |
Sadbhav Engineering Limited |
34 |
S.
Kumars Nationwide Ltd |
35 |
Soffia
Software Ltd |
36 |
Strides
Arcolabs Ltd |
37 |
Sun
Pharmaceutical Industries Ltd. |
38 |
Swaraj
Mazda Ltd |
39 |
The
South Indian Bank Ltd |
40 |
The Dhanalakshmi Bank Limited |
41 |
SPANCO Limited |
42 |
United
Breweries Ltd |
43 |
United
Phosphorus Ltd |
44 |
UTI
Bank Ltd. |
45 |
Vimta
Labs Ltd. |
| 46 |
Wockhardt
Ltd. |
47 |
Yes
Bank Ltd. |
48 |
Zeefilms
Ltd. |
49 |
Welspun India Ltd (w.e.f. 10.02.2010) |
50 |
IndusInd Bank Limited (w.e.f. 26-11-2012) |
51 |
IRB Infrastructure Developers Ltd (w.e.f. 05.02.2013) |
52 |
Sunil Hi Tech Engineers Limited (w.e.f.09.05.2013) |
LIST OF COMPANIES
IN WHICH FII INVESTMENT IS ALLOWED UPTO LIMITS FIXED BY COMPANIES AS INDICATED
AGAINST THEIR NAMES
LIST
OF COMPANIES IN WHICH FII INVESTMENT IS ALLOWED UPTO SECTORAL CAP/STATUTORY CEILING
OF THEIR PAID UP CAPITAL
LIST OF PRINT MEDIA
COMPANIES IN WHICH FDI / FII INVESTMENT IS ALLOWED
1 |
Jagran
Prakashan -26% |
| 2 |
Deccan
Chronicle Holdings Ltd – 24% (FIIs upto 14%) |
3 |
IBN 18 Broadcast Ltd.-26% |
Companies
in which overall FII ceiling has reached and no further purchases are allowed Companies
falling under 24 %
Companies falling under 30 %
None
Companies
falling under 49% limit
None
Companies
where 38% FII limit has been reached and further purchases are allowed with prior
approval of RBI.
None
Companies
where 28% FII limit has been reached and further purchases are allowed with prior
approval of RBI.
None
Companies
where 22% FII limit has been reached and further purchases will be allowed with
prior approval of RBI
Companies
where NRI/PIO Investment has already reached 10 % and no further purchases can
be allowed
Companies
where the NRI investment has reached the trigger point of 8% and further purchases
are allowed only with prior permission of RBI
1 |
Codura Exports Ltd |
2 |
Cosmo Films Ltd |
3 |
Dalmia
Cement (Bharat) Ltd |
4 |
Deccan
Cements Ltd |
5 |
Garden
Silk Mills Ltd. |
6 |
Nexus
Software Ltd |
7 |
Polyplex Corporation Ltd |
8 |
Premier
Explosives Ltd |
9 |
Teledata Technology Solutions Limited (w.e.f.05.03.2013) |
10 |
Teledata Informatics Limited (Name changed to: Agnite Education Limited but not incorporated in BSE site) (w.e.f.05.03.2013) |
Companies in which the Ban limit in respect of maximum permissible
foreign holding including GDR/ADR/FDI/NRI/PIO/FII Investment as stipulated by
Government has been reached.
Companies in which
the Caution limit in respect of maximum permissible foreign holding including
GDR/ADR/FDI/NRI/PIO/FII Investments as stipulated by Government has reached.
Print
Media Companies in which the Caution limit in respect of maximum permissible foreign
holding including FDI/NRI/PIO/FII Investments as stipulated by Government has
reached.
Print Media
Companies in which the Ban limit in respect of maximum permissible foreign holding
including FDI/NRI/PIO/FII Investments as stipulated by Government has reached.
Public Sector banks in which 20% limit has been reached and no further investments are
permitted
Public Sector banks in which 18% caution limit has been
reached and further purchases by FIIs/NRIs/PIOs are allowed only with prior permission
of RBI
Private Sector
Banks in which the Caution limit in respect of maximum permissible foreign holding
including GDR/ADR/FDI/NRI/PIO/FII Investments as stipulated by Government has
reached
Private Sector Banks in which the Ban limit in respect of
maximum permissible foreign holding including GDR/ADR/FDI/NRI/PIO/FII Investments
as stipulated by Government has reached
Private
Sector Banks in which the Caution limit in respect of FIIs Investment has reached.
Private
Sector Banks in which the Ban limit in respect of FIIs Investment has reached 49%.
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Further
purchases are allowed only with prior permission of RBI. |
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No
further purchases are allowed. |
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