Axis Bank shares rise 3% on RBI move

Wednesday, Jun 1, 2016,12:43 IST By metrovaartha A A A

Mumbai | Shares of Axis Bank rose by nearly 3 per cent today after the Reserve Bank allowed raising foreign shareholding to up to 62 per cent in the company, from the earlier limit of 49 per cent. The stock gained 2.69 per cent to Rs 529.50 on BSE.

On NSE, it went up 2.76 per cent to Rs 529.45. Foreign institutional investors (FIIs)/registered foreign portfolios investors (RFPIs) can now invest from the existing 49 per cent up to 62 per cent of the paid-up capital of Axis Bank under the Portfolio Investment Scheme (PIS), RBI had said in a notification yesterday. It further said total foreign investment from all sources in the bank shall not exceed 62 per cent of the paid-up capital. The decision was taken after passage of resolutions at the level of the board of directors and through a special resolution by the shareholders, agreeing to enhancing the limit for purchase of its shares and convertible debentures by FIIs/RFPIs.