RBI increases company’s FII limit to 100% in MT Educare

Reserve Bank of India (RBI) has increased foreign institutional investors' (FIIs) investment limit in MT Educare to 100% of its paid-up capital. RBI notified that FIIs/Registered Foreign Portfolios Investors (RFPIs) can now invest up to 100 percent (revised from earlier limit of 24 percent) of the paid up capital of MT Educare under the Portfolio Investment Scheme. 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 FIIs. The purchases could be made through primary market and stock exchanges and would be subject to Regulation 5(2) of FEMA Notification No.20 dated May 03, 2000 (as amended from time to time) and other terms and conditions stipulated by the Reserve Bank. MT Educare provides educational coaching services for classes 9 and 10 (state boards, CBSE and ICSE), classes 11 and 12, graduation (commerce), preparatory/entrance tests (engineering, medical and MBA) and professional courses such as chartered accountancy under the brand name ‘Mahesh Tutorials’. The promoters holding in the company stood at 45.33 % while Institutions and Non-Institutions held 18.32 % and 36.35 % respectively.