Foreign portfolio investment limits govern equity holdings and permit divestment or reclassification to FDI upon breach. Foreign portfolio investment in Indian companies is subject to prescribed individual and aggregate limits, with Indian companies able to raise the aggregate threshold to the applicable sectoral cap or statutory ceiling through board and shareholder approvals. FPIs forming an investor group are aggregated for limit calculations, and FPIs breaching limits may divest within a short trading window or have their entire holding reclassified as FDI, with custodial notification and regulator-prescribed further conditions. FPIs may acquire equity via public offer or private placement under pricing safeguards and may invest in specified funds, REITs and InVITs subject to SEBI and Reserve Bank terms.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Foreign portfolio investment limits govern equity holdings and permit divestment or reclassification to FDI upon breach.
Foreign portfolio investment in Indian companies is subject to prescribed individual and aggregate limits, with Indian companies able to raise the aggregate threshold to the applicable sectoral cap or statutory ceiling through board and shareholder approvals. FPIs forming an investor group are aggregated for limit calculations, and FPIs breaching limits may divest within a short trading window or have their entire holding reclassified as FDI, with custodial notification and regulator-prescribed further conditions. FPIs may acquire equity via public offer or private placement under pricing safeguards and may invest in specified funds, REITs and InVITs subject to SEBI and Reserve Bank terms.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
AI OCR ✕
of 
TaxTMI 
TaxTMI 
