Bengaluru, April 22 -- A leading food delivery stock is in the spotlight after it proposed to lower its foreign ownership limit from 75 percent to 49.5 percent. The move, currently up for shareholder approval, could trigger passive outflows of nearly $700 million due to potential changes in MSCI and FTSE index weightages.

Price Movement

During Tuesday's trading session, share price of Eternal Ltd reached an intraday high of Rs.243.45 per share, rising 4 percent from the previous close of Rs.234.15 per share. The shares have retreated since then and currently trading at Rs.237.60 apiece.

What Happened

Eternal (formerly Zomato Ltd) has proposed to reduce its Foreign Ownership Limit (FOL) from 75 percent to 49.5 percent, a move currently...