 "Shilpa Medicare rises 4% on RBI nod to hike FIIs limit to 30%")
Shares of Shilpa Medicare gained over 4% to Rs 476 on the NSE after the Reserve Bank of India (RBI) notified that foreign investors can now invest up to 30% of the paid-up capital of the company.
The Reserve Bank of India (RBI) notified yesterday that Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs) can now invest up to 30% of the paid up capital of Shilpa Medicare under the Portfolio Investment Scheme (PIS). Earlier, the investment limit was up to 24% of the paid up capital of the company.
RBI 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. The purchases could be made through primary market and stock exchanges.
FIIs held 15.06% stake in Shilpa Medicare as per the shareholding pattern as on 30 September 2015.
The stock opened at Rs 468 and touched an intraday high of Rs 489 on the NSE. At 12:02 pm, around 100,000 shares were traded on both the stock exchanges.
The stock had underperformed the market over the past one month till 10 December 2015, sliding 9.86% compared with 1.91% decline in the Sensex.
