Reserve Bank of India (RBI) has allowed foreign institutional investors (FIIs) and foreign portfolio investors (FPIs) to hold up to 50% equity holding in financial services firm Capital First from 24% earlier.
Due to the increase in the investment limit, it is notified that the aggregate shareholding by FIIs/FPIs in Capital First has gone below the prescribed investment limit for the company. FIIs, NRIs and PIOs (Persons of Indian Origin) can invest in primary and secondary capital markets in India through PIS (portfolio investment scheme).
Capital First is an MSME and consumer financing company which provides debt financing to these segments and also offers home loans, two wheeler loans and durable loans to entry and mid-level salaried employees of corporates.
