Power Grid shares down nearly 3% on RBI restrictions

Power Grid Corporation's stock fell by 3 per cent today after the Reserve Bank put restrictions on further purchases of shares of the company by foreign investors.
Power Grid 's stock fell by 2.90 per cent to end at Rs 142.15 on the BSE. During the day, it slipped 3.48 per cent to Rs 141.30.
On the NSE, it lost 2.46 per cent to close at Rs 142.95.
Following the dip, the company's market value fell by Rs 2,222.95 crore to Rs 74,367.05 crore.
The foreign shareholding through Foreign Institutional Investors/Registered Foreign Portfolios Investors in Power Grid Corporation of India Ltd has reached the trigger limit, the Reserve Bank of India had said on Friday.

"Therefore, further purchases of equity shares of this bank would be allowed only after obtaining prior approval of the Reserve Bank of India," it had said in a notification.
Earlier this year, the RBI had allowed FIIs to purchase up to 30 per cent of the paid up capital of Power Grid Corporation under the Portfolio Investment Scheme (PIS).
According to data available with the BSE, FIIs were holding 27.41 per cent shares in Power Grid as of quarter ended September 2014.