Depositories share info of firms with bourses on FDI limit

Depositories have shared information about activation of red flag and foreign investment limit breach related to 12 companies, including HDFC Bank, with the BSE and the NSE, according to notices.

As per the separate notices issued by the two bourses, a red flag has been activated in HDFC Bank, Wonderla Holidays, IndusInd Bank, Ashapura Minechem, Cyient and S H Kelkar and Company.

Among the companies in which the foreign invest- ment has reached its permissible limit are Abbott India, Delta Corp, Shanti Educational Initiatives, Sai Baba Investment and Commercial Enterprises, Trent and JVL Agro Industries.

Based on information received from the depositories – NSDL and CDSL — regarding red flag activation and limit breach, institutional trading series (6 lakh series) for the 12 companies will be available for trading from June 18, the BSE said in a notice dated June 16.

In Institutional trading series (6 lakh series), which is going to be discontinued by the BSE from July 1 in equity segment, only foreign institutional investors are permitted to trade among themselves.

In a circular, the NSE noted that in relation to Sebi framework regarding monitoring of foreign investment limits in listed Indian companies, the information relating to red flag and breaches have been furnished by the depositories for dissemination. The Sebi, in April, had put in place a framework for the depositories — NSDL and CDSL — to monitor the foreign investment limits in listed Indian companies.

A red flag has been activated in HDFC Bank, Wonderla Holidays, IndusInd Bank, Ashapura Minechem, Cyient and S H Kelkar & Company