HDFC Bank shares drop sharply as RBI restricts FII purchases

Shares in HDFC Bank dropped sharply in trade today after the Reserve Bank of India restricted purchases in the shares of the bank.

HDFC Bank was last trading at Rs 668, down 2.27 per cent from Monday's close.

"Stakes held by overseas investors, including FIIs, non-resident Indians (NRIs), persons of Indian origin (PIOs), foreign direct investment and global depository receipts, in HDFC Bank have crossed the ceiling of 49 per cent of its paid-up capital, " the RBI said in a release.

No further purchases of the bank's shares will be allowed through the stock exchanges on behalf of overseas investors, it said.

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