FOREIGN VCs CAN INVEST IN MARKET VIA THIRD PARTIES

The Reserve Bank (RBI) has allowed foreign venture capital investors to invest in securities
through private arrangements or purchase from a third party. RBI (Reserve Bank of India) in a circular released that it has now been decided to allow foreign venture capital investors to invest in eligible securities (equity, equity-linked instruments, debt and debt instruments, debentures of a domestic venture capital undertaking or VC (Venture Capital) funds, units of schemes/funds set up by a VC fund) by way of private arrangements or purchase from a third party also.