The Swiggy Board of Directors approved a proposal to limit the aggregate foreign ownership of the company to 49.5% on a fully diluted basis. This decision is part of the company's efforts to obtain the status of an India-Owned and Controlled Company (IOCC).
The proposed change will be presented to shareholders for approval via a special resolution at the company's 13th Annual General Meeting (AGM) on August 18. Obtaining IOCC status will allow Swiggy to directly own and sell goods through its Instamart quick shopping brand. This move is expected to improve margins and strengthen control over the supply chain.
In addition to approving the foreign ownership restriction proposal, the Swiggy board also decided to amend the Articles of Association (AoA) to comply with Indian FEMA regulations. Furthermore, it was proposed to reclassify the authorized preference share capital into authorized equity capital, subject to shareholder approval.
According to regulatory documentation, the company proposes amendments to its Articles as part of broader efforts to achieve IOCC status under applicable foreign exchange laws. Key amendments include excluding certain existing individual and institutional nomination rights, as well as reviewing and including nomination rights for specific residents. The provisions also stipulate clarifying the conditions governing the exercise and termination of such rights, along with corresponding changes in the Articles' definitions and clauses.
The National Agency for Advanced Projects (NAPP) of Uzbekistan has granted access to the Regulatory Sandbox to two companies: Hamkorbank and HBCAPITAL LLC. This sandbox is a special legal mechanism designed to test innovations in the capital market.
Under the pilot regime, Hamkorbank intends to issue foreign currency-denominated bonds. The company HBCAPITAL will act as the investment intermediary responsible for the placement and issuance of these securities.
According to information from NAPP, the implementation of this project will be carried out through the Regulatory Sandbox mechanism. This mechanism allows financial institutions to test new financial products and services in a specially designated regulatory environment before their widespread adoption in the market.
