City Union Bank rose 3.27% after the Reserve Bank of India allowed foreign institutional investors to purchase up to 35% of the paid-up capital of the company. The Reserve Bank of India (RBI) on Monday, 5 May 2014, notified that Foreign Institutional Investors (FIIs), through primary market and stock exchanges, can now purchase up to 35% of the paid up capital of City Union Bank under the Portfolio Investment Scheme (PIS). City Union Bank has passed resolutions at the 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 FIIs.
This approval is given subject to the condition that the onus of compliance with FDI policy and FEMA regulations including downstream investment would continue to remain on the Indian company, City Union Bank.
RBI is also advised that for FII/RFPI/QFI and NRI under Portfolio Investment Scheme, individual ceiling shall be 5% respectively and aggregate limit for all RFPI/FII/QFI shall be 35%.
City Union Bank will have to monitor individual limits of FII/FPI/QFI and NRI and also ensure that at no time its total foreign investment (direct as well as indirect) exceeds 49%, beyond which, it should seek prior FIPB approval, RBI said.
Further, RBI notified that the shareholding by FIIs, in City Union Bank have gone below the revised threshold limit stipulated under the extant Foreign Direct Investment (FDI) Policy. Hence, the restrictions placed on the purchase of shares of the above company are withdrawn with immediate effect.
FIIs held 21.54% stake in City Union Bank (as per the shareholding patterns as on 31 March 2013).
United Bank of India surged 5.91% after net profit galloped 1405.35% to Rs 469.37 crore on 14.38% growth in total income to Rs 3073.78 crore in Q4 March 2014 over Q4 March 2013. The Q4 result was announced after market hours on Monday, 5 May 2014.
Asian stocks rose on Tuesday, with trading volume curbed by holidays in Japan, Hong Kong and South Korea. Key benchmark indices in China, Singapore, Indonesia and Taiwan were up 0.03% to 0.51%.
Australia's central bank left its benchmark interest rate unchanged at a record low as tame consumer prices and anticipated cuts to government spending give policy makers room to spur employment-intensive industries. Governor Glenn Stevens and his board kept the overnight cash-rate target at 2.5% as predicted.
Trading in US index futures indicated that the Dow could gain 25 points at the opening bell on Tuesday, 6 May 2014. US stocks edged higher on Monday on the back of positive economic data. The Institute for Supply Management's US services sector index rose to 55.2 in April, the fastest pace in eight months and easily topping forecasts. A reading above 50 indicates expansion. The data added to evidence that the US economy is emerging from a particularly harsh winter-induced slowdown and provided a welcome offset to worries about China.
This approval is given subject to the condition that the onus of compliance with FDI policy and FEMA regulations including downstream investment would continue to remain on the Indian company, City Union Bank.
RBI is also advised that for FII/RFPI/QFI and NRI under Portfolio Investment Scheme, individual ceiling shall be 5% respectively and aggregate limit for all RFPI/FII/QFI shall be 35%.
City Union Bank will have to monitor individual limits of FII/FPI/QFI and NRI and also ensure that at no time its total foreign investment (direct as well as indirect) exceeds 49%, beyond which, it should seek prior FIPB approval, RBI said.
Further, RBI notified that the shareholding by FIIs, in City Union Bank have gone below the revised threshold limit stipulated under the extant Foreign Direct Investment (FDI) Policy. Hence, the restrictions placed on the purchase of shares of the above company are withdrawn with immediate effect.
FIIs held 21.54% stake in City Union Bank (as per the shareholding patterns as on 31 March 2013).
United Bank of India surged 5.91% after net profit galloped 1405.35% to Rs 469.37 crore on 14.38% growth in total income to Rs 3073.78 crore in Q4 March 2014 over Q4 March 2013. The Q4 result was announced after market hours on Monday, 5 May 2014.
Asian stocks rose on Tuesday, with trading volume curbed by holidays in Japan, Hong Kong and South Korea. Key benchmark indices in China, Singapore, Indonesia and Taiwan were up 0.03% to 0.51%.
Australia's central bank left its benchmark interest rate unchanged at a record low as tame consumer prices and anticipated cuts to government spending give policy makers room to spur employment-intensive industries. Governor Glenn Stevens and his board kept the overnight cash-rate target at 2.5% as predicted.
Trading in US index futures indicated that the Dow could gain 25 points at the opening bell on Tuesday, 6 May 2014. US stocks edged higher on Monday on the back of positive economic data. The Institute for Supply Management's US services sector index rose to 55.2 in April, the fastest pace in eight months and easily topping forecasts. A reading above 50 indicates expansion. The data added to evidence that the US economy is emerging from a particularly harsh winter-induced slowdown and provided a welcome offset to worries about China.