Mumbai: Shares of Pantaloon Retail India Tuesday surged over 10 percent after the Reserve Bank allowed foreign institutional investors, non-resident Indians and persons of Indian origins to buy shares in the company.
Shares of the company opened on strong note and later spurted 10.63 percent to trade at Rs 268.40 on the BSE.
At the National Stock Exchange, the stock zoomed 10.63 percent to Rs 268.30.
RBI in a notification yesterday said, "The aggregate share holdings by FIIs, NRIs and PIOs under portfolio investment scheme in Pantaloon Retail has gone below the prescribed threshold limit stipulated under extant foreign direct investment policy."
"Hence, the restrictions placed on the purchase of shares of the above company on behalf of FIIs/NRIs/PIOs, are withdrawn with immediate effect," RBI said.
Further, it is advised that in respect of the existing prior approval applications for purchase of shares received through custodian banks of FIIs, pending with RBI which could not be processed due to unavailability of limit/headroom, such investors are free to invest within the enhanced ceiling, it said.
As on December quarter, total FII holding in the company stands at 21.98 percent.