MANU/SMIS/0015/2022

Ministry : Securities and Exchange Board of India

Department/Board : Alternative Investment Fund and Foreign Portfolio Investors Department

Circular No. : SEBI/HO/AFD-1/PoD/CIR/P/2022/108

Date : 17.08.2022

Notification/ Circulars Referred : Circular No. CIR/IMD/DF/7/2015 dated October 01, 2015 MANU/SFII/0002/2015

Citing Reference:
Circular No. CIR/IMD/DF/7/2015 dated October 01, 2015 MANU/SFII/0002/2015  Referred

To

All Alternative Investment Funds
All Venture Capital Funds [registered under erstwhile SEBI (Venture Capital Funds) Regulations, 1996]

Sir/ Madam,

Guidelines for overseas investment by Alternative Investment Funds/Venture Capital Funds

1. In terms of Regulation 12(ba) of erstwhile SEBI (Venture Capital Funds) Regulations 1996 and Regulation 15(1)(a) of SEBI (Alternative Investment Funds) Regulations, 2012, AIFs/VCFs may invest in securities of companies incorporated outside India subject to such conditions or guidelines that may be stipulated or issued by the Reserve Bank of India and SEBI from time to time.

2. In this regard, the following is specified -

(i) AIFs/VCFs shall file an application to SEBI for allocation of overseas investment limit in the format specified at Annexure A.

(ii) The requirement of the overseas investee company to have an Indian Connection, as specified in para 3(ii) of SEBI Circular No. SEBI/VCF/CIR No. 1/98645/2007 dated August 09, 2007 and para 2(A)(e)(i) and para 2(B)(c)(iv) of SEBI Circular No. CIR/IMD/DF/7/2015 dated October 01, 2015, has been done away with.

(iii) AIFs/VCFs shall invest in an overseas investee company, whi........