| If a proposal put forth in SEBI's recent board meet goes through, Sovereign Wealth Funds will score on foreign institutional investors. An FII is allowed to purchase an up to 10% stake in a listed company and the holdings of an FII group are counted as holdings of a single FII. But Comprehensive Economic Co-operation Agreements or CECAs signed by India treat multiple investment vehicles of a Sovereign as independent of each other.
And so, prompted by a government request, SEBI may allow sovereign investment vehicles, of a treaty country, to hold shares in an Indian listed entity beyond specified threshold limits without attracting the open offer obligation..............................................Full Article: Source
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