RBI lets foreign investors buy stake in MCX

The Reserve Bank has allowed overseas investors to buy equity shares in Multi Commodity Exchange (MCX) after foreign shareholding in the bourse fell below the prescribed threshold caution limit. The aggregate share holdings in Multi Commodity Exchange of India by Foreign Institutional Investors/Registered Foreign Portfolios Investors have gone below the prescribed threshold caution limit stipulated under the extant FDI policy, RBI said in a notification. "Hence the restrictions placed on the purchase of shares of the above company are withdrawn with immediate effect", it said. RBI further notified that all the approvals received against the said scrip are duly cancelled. "Equity shares of Multi Commodity Exchange of India can now be purchased through primary market and stock exchanges," it added.