No foreign buys in Samtel as investment reaches trigger limit

MUMBAI: Foreign investors would not be allowed to buy further shares in technology products maker Samtel India, as their shareholding has crossed the prescribed limit.

Reserve Bank said that Samtel has been included in its ban list for purchase of equity shares by NRIs/persons of Indian origin, as the aggregate net purchases of equity shares in the company has reached trigger limit.

"Accordingly, no further purchases of the shares of M/s Samtel India Ltd would be allowed through stock exchanges on behalf of NRI/PIOs," RBI said in a notification.

FIIs, NRIs and PIOs (Persons of Indian Origins) can invest in primary and secondary capital markets in India through Portfolio Investment Scheme (PIS).

The RBI monitors the ceilings on FII/NRI/PIO investments in Indian companies on a daily basis.

To effectively monitor the limit, RBI has fixed cut-off points two percentage points lower than the actual ceiling.