FII Holdings in Eternal Decline Amidst Indian Ownership Cap for Blinkit's Inventory Model

Foreign institutional investor (FII) holdings in Eternal have decreased for seven consecutive quarters, dropping from 54% to 36.2%. This decline is attributed to a strategic decision by Eternal's board to cap foreign ownership at 49.5%. This cap aims to maintain the company's status as an Indian-Owned and Controlled Company, allowing its quick commerce business, Blinkit, to operate an inventory-led model under FEMA regulations. This model offers greater control over supply chains and pricing, potentially improving margins.