FM's announcement to increase public shareholding to 35%

Hi @nithin

Would like to know your thoughts on FM’s announcement to increase public shareholding from 25 per cent to 35 per cent, specifically impact on day to day market liquidity


I don’t think it is announcement yet. FM has asked SEBI to see if it can push it to 35%. I don’t know if there is enough appetite for so much more equity currently. I read an estimate of over Rs 3.5lk crores capital that would be required to take this 25 to 35, I don’t think there is that much liquidity in the ecosystem.

For the exchanges and capital markets in general, more public shareholding and hence liquidity is generally good.


@vikas1989 This is just a request to sebi to mull the feasibility of making maximum promoter hold to 65% from present 75% . it is not a budget proposal .
Many promoters may go for d listing attempt rather than stake dilution if this is implemented .


If it will happen then retail investor have 10% more to loose :joy::joy: