Sponsor majority requirement mandates sponsor control while restricting non-sponsor and foreign holdings and FII board representation. The amendment mandates sponsor majority control of a depository and bars any non-sponsor, individually or with persons acting in concert, from exceeding a small minority stake. It caps combined non-resident ownership below a minority threshold with sub-limits for foreign direct investment and foreign institutional investor holdings, requires that foreign institutional investors acquire shares only through the secondary market, and prohibits foreign institutional investor representation on the depository's board.
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.
Sponsor majority requirement mandates sponsor control while restricting non-sponsor and foreign holdings and FII board representation.
The amendment mandates sponsor majority control of a depository and bars any non-sponsor, individually or with persons acting in concert, from exceeding a small minority stake. It caps combined non-resident ownership below a minority threshold with sub-limits for foreign direct investment and foreign institutional investor holdings, requires that foreign institutional investors acquire shares only through the secondary market, and prohibits foreign institutional investor representation on the depository's board.
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