RBI allows TD Power to raise foreign investment limit to 100%

Foreign Portfolios Investors (RFPIs) can now purchase up to 100% of TD Power Systems under the Portfolio Investment Scheme.

Earlier the limit for the foreign institutional investors (FIIs) or registered foreign portfolio investor (RFPIs) to purchase equity shares in the company was capped at was at 49%.

"...Foreign institutional investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs) can now purchase up to 100% (revised from earlier limit of 49%) of the paid up capital of TD Power Systems under the Portfolio Investment Scheme," RBI said in a notification.

The hike in limit for FIIs or RFPIs to buy up to 100% paid up equity capital in the company came after passage of resolutions by it's board of directors and a special resolution by shareholders to enhance the limit for purchase of its equity shares and convertible debentures by FIIs.

The purchases could be made through primary market and through stock exchanges in the Bengaluru based AC generator maker.

Shares of the company on Friday closed 1.33% higher at Rs 330.30 per scrip on the BSE.