New Delhi : Indian stocks have remained attractive for overseas investors, as foreign entities have pumped in over $19 billion so far — the second highest mark in a year. FIIs had pulled out USD 358 million (Rs 2,714 crore) in 2011.
But shares of multi-national companies (MNCs) will be in focus in the next few weeks as many of them will be required to either reduce promoter shareholding to a regulatory cap of 75% or get delisted.
At least four companies — Fresenius Kabi Oncology, Disa India, Blue Dart and Xchanging Solutions — have already sold promoter shares through one-day Offer for Sale (OFS) window in recent weeks, while a few others like Honeywell Auto too are lining up their share sales in due course. Under the offer-for-sale route, promoters can offload shares to any investor through a special window the exchanges allow for a day. Market analysts believes that more MNCs may opt for the OFS route to comply with Sebi’s norm as delisting is not a feasible option because of huge cost involved in it.
Barring two, Thomas Cook and Singer, shares of the Indian subsidiaries of foreign multinational firms have fallen in the range of 1-18 % in the last two months compared to the BSE index, Sensex, which has dipped by a little over 1% during the period. Individually, Astrazeneca Pharma dived by (18.43 %), followed by Fairfield Atlas (17.75 %), Sharp India (13.3 %), 3M India (8.75 %) and Oracle Financial Services (six %). Novartis, Gillette, BOC India, Elantas Beck India and Timken India too dropped on the bourses. — PTI
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