The Reserve Bank of India today notified that the restrictions placed on the purchase of shares of M/s.Federal Bank Ltd., have been withdrawn with immediate effect. Equity shares of M/s. Federal Bank Ltd., can now be purchased through primary market and stock exchanges.

The Reserve Bank stated that consequent upon the Government of India approving the increase in foreign investment in M/s.Federal Bank Ltd., from 49 per cent to 74 per cent of its paid up equity share capital of M/s. Federal Bank Ltd., the aggregate shareholding through Foreign Institutional Investors (FIIs)/Non-Resident Indians (NRIs)/Persons of Indian Origin (PIOs)/Foreign Direct Investment (FDI)/American Depository Receipt (ADR)/Global Depository Receipts (GDRs) in M/s. Federal Bank Ltd. has gone below the prescribed threshold ban limit stipulated under the extant FDI policy.

Alpana Killawala
Principal Chief General Manager

Press Release : 2013-2014/1867