Axis Bank rises 2% on increase in FII investment limit by RBI

Moneycontrol BureauShare prices of Axis Bank gained 2.7 percent intraday Wednesday on approval from Reserve Bank of India (RBI) to increase in investment limit by foreign investors."The RBI has notified that foreign institutional investors (FIIs)/ registered foreign portfolios investors (REPIs) can invest from existing 49 percent up to 62 percent of the paid up capital of the company under the portfolio investment scheme," as per company release. The company has passed resolutions at its board of directors' level and a special resolution by the shareholders, agreeing for enhancing the limit for the purchase of its equity shares and convertible debentures by the FIIs/REPIs. The company's Jan-March quarter net profit was down at Rs 2154.28 crore against Rs 2180.59 crore in the same quarter last fiscal.It had recommended a dividend of 250 percent i.e. Rs 5 per equity share of Rs 2 each.At 09:41 hrs Axis Bank was quoting at Rs 523.70, up Rs 8.10, or 1.57 percent on the BSE.Posted by Rakesh Patil