FIIs/RFPIs can invest up to 74 pc in Shriram Transport Finance

A day after it banned further purchase by foreign investors in Shriram Transport Finance, RBI today said FIIs/RFPIs can now invest up to 74 per cent of the paid up capital of the company.
Yesterday, RBI had said that the foreign shareholding through Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs) in the company crossed threshold ban limit and "therefore, no further purchase of shares of this company would be allowed through stock exchanges in India on behalf of FII/RFPIs".
The RBI today stated that the company has passed resolutions at its Board of Directors' level and a special resolution by the shareholders, agreeing for enhancing the limit for the purchase of its equity shares and convertible debentures by FIIs/RFPIs.

"FIIs/RFPIs can now invest up to 74 per cent under PIS (Portfolio Investment Scheme) in M/s Shriram Transport Finance Co Ltd," the RBI said.
It is advised that foreign shareholding by FIIs/RFPIs in company has gone below the revised threshold limit.
"Hence, the restrictions placed on the purchase of shares of the above company vide Press Release No.957 dated October 20, 2015 are withdrawn with immediate effect," the central bank said in a statement.