The Reserve Bank of India has today notified that Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs)/Qualified Foreign Investors (QFls)/Non Residential Indians (NRIs)/Person of Indian Origin (PIO) can now invest up to 49 per cent of the paid up capital of M/s Ponni Sugars Erode Limited under the Portfolio Investment Scheme (PIS).

The Reserve Bank has further advised that the aggregate limit for NRI investment shall not exceed 24% within the overall limit of 49%.

The Reserve Bank has 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/QFls/NRIs/PIO. The purchases could be made through primary market and stock exchanges and would be subject to Regulation 5(2) & 5(3) of FEMA Notification No.20/2000-RB dated May 03, 2000 (as amended from time to time) and other terms and conditions stipulated by the Reserve Bank.

The Reserve Bank has notified this under FEMA 1999.

Ajit Prasad
Assistant Adviser

Press Release : 2015-2016/2005