RBI allows overseas investors to buy stake in MCX

The aggregate share holdings in Multi Commodity Exchange of India by Foreign Institutional Investors/Registered Foreign Portfolios Investors have gone below the prescribed threshold caution limit

PTI May 21, 2016 11:01:01 IST
RBI allows overseas investors to buy stake in MCX

New Delhi: The Reserve Bank OF India (RBI) has allowed overseas investors to buy equity shares in Multi Commodity Exchange (MCX) after foreign shareholding in the bourse fell below the prescribed threshold caution limit.

RBI allows overseas investors to buy stake in MCX

Reuters

 

The aggregate share holdings in Multi Commodity Exchange of India by Foreign Institutional Investors/Registered Foreign Portfolios Investors have gone below the prescribed threshold caution limit stipulated under the extant FDI policy, RBI said in a notification.

"Hence the restrictions placed on the purchase of shares of the above company are withdrawn with immediate effect", it said.

RBI further notified that all the approvals received against the said scrip are duly cancelled.

"Equity shares of Multi Commodity Exchange of India can now be purchased through primary market and stock exchanges," it added.

As per data available on BSE, public holding in the company was 99.64 per cent as of March 2016, while the rest of 0.36 per cent was held by others.

MCX shares closed at Rs 857.80 apiece on BSE on Friday, up 0.30 per cent.

Updated Date:

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