Mumbai: HDFC Bank again reached theprescribed foreign investment limit for Indian companies, the Reserve Bank said today, just a day after such inflows had gone below the ceiling.
The threshold limit for foreign holding had gone below the prescribed percentage yesterday enabling foreign investors to buy the stock.
“The foreign shareholding by ADR/GDR/FIIs/FPIs/FDI/NRIs/ PIOs in HDFC Bank Ltd has crossed the overall limit of 74 per cent of its paid-up capital,” RBI said in notification.
Therefore, no further purchases of shares of this company would be allowed through stock exchanges in India on behalf of Foreign institutional Investors (FIIs)/Foreign Portfolio Investors (FPIs)/ Non-Resident Indians (NRIs)/ Persons of Indian Origin (PIOs), RBI said.
RBI monitors the ceilings on FII/NRI/PIO investments in Indian companies on a daily basis and has fixed the cut-off points two percentage points below the actual ceiling.
Till the quarter ended December 31, 2016, promoter shareholding in the bank was at 26.09 per cent, as per BSE data.
HDFC Bank stock was trading 3.23 per cent up at Rs 1,370.25 on BSE in noon session. PTI