RBI allows up to 49% foreign investment in SeQuent

MUMBAI: Reserve Bank has allowed foreign investors to buy upto 49 per cent stake in SeQuent Scientific Ltd.

Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs) can now invest up to 49 per cent of the paid up capital of SeQuent Scientific Limited under the Portfolio Investment Scheme (PIS), RBI said in a notification.

"Since the holding limit is increased to 49 per cent, the earlier limit of 32.46 per cent stands altered to that extent," RBI said.

RBI said the company's Board of Directors passed a resolution to this effect. A special resolution by the shareholders also agreed for enhancing the limit for the purchase of its equity shares by FIIs/RFPIs.

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

The RBI monitors the ceilings on FII/NRI/PIO investments in Indian companies on a daily basis and has fixed the cut-off points two percentage points lower than the actual ceiling.

Scrips of SeQuent Scientific closed 1.41 per cent down at Rs 174.70 apiece on BSE today.