Guidelines for overseas investment by Alternative Investment Funds (AIFs) / Venture Capital Funds (VCFs)

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....vest in securities of companies incorporated outside India subject to such conditions or guidelines that may be stipulated or issued by the Reserve Bank of India and SEBI from time to time. 2. In this regard, the following is specified - (i) AIFs/VCFs shall file an application to SEBI for allocation of overseas investment limit in the format specified at Annexure A. (ii) The requirement of the overseas investee company to have an Indian Connection, as specified in para 3(ii) of SEBI Circular No. SEBI/VCF/CIR No. 1/98645/2007 dated August 09, 2007 and para 2(A)(e)(i) and para 2(B)(c)(iv) of SEBI Circular No. CIR/IMD/DF/7/2015 dated October 01, 2015, has been done away with. (iii) AIFs/VCFs shall invest in an ove....

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....Annexure B within 3 working days of the divestment, by emailing to [email protected], for updating the overall limit available for overseas investment by AIFs/VCFs. (viii) All the overseas investments sold/divested by AIFs/VCFs till date, shall also be reported to SEBI in the format given at Annexure B within 30 days from the date of this circular, by emailing to [email protected]. 3. The Trustee/Board/Designated Partners of the AIFs/VCFs shall submit an undertaking to SEBI as specified at Annexure A with respect to the proposed overseas investment. 4. This Circular shall come into force with immediate effect. 5. This circular is issued with the approval of the competent authority. 6. This Circular is issu....

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....ee company)   d) Whether any investor of the AIF is a connected person of the overseas investee company. If yes, provide details of the investor and also the said investor's pro-rata share in the proposed investment.   e) In case of Angel Fund, the number of investors participating in the proposed overseas investment   3 Details of investment a) Type of instrument(s) in which the investment is proposed   b) Nature of investment (Primary subscription, secondary purchase, etc.) c) Amount proposed to be invested (in USD)   d) Amount invested in previous overseas investments (in USD)   e) Investible corpus of the scheme of the AIF/VCF (in INR)   ....

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....investment by AIFs/VCFs. D. Undertaking to be submitted by the Manager of the AIF/VCF: 1. The manager has exercised due diligence with respect to the investment decision. 2. The proposed investment is in [name of instrument], which is an equity/equity linked instrument. 3. [name of the overseas investee company] is an offshore venture capital undertaking i.e. it is a foreign company whose shares are not listed on any of the recognized stock exchange in India or abroad. 4. [name of the overseas investee company] is incorporated in a country whose securities market regulator is a signatory to the International Organization of Securities Commission's Multilateral Memorandum of Understanding (Appendix A Si....