Pages

Subscribe:

What valuation guidelines are used while reporting foreign equity investment for unlisted companies?



This field will be automatically calculated in online web-based reporting (item 1.1, Section III). Companies are not required to compute it separately. However, for your information, calculation of market value of equity capital for unlisted companies (using the OFBV method) is as follows:
Market value of equity capital held by Non- resident at OFBV for current year/previous year
= (Net worth of the company for current year/previous year) * (% non-resident equity holding for current year/previous year)
Where, Net worth of the company
= (Paid up Equity & Participating Preference share capital of company + Reserves & Surplus - Accumulated losses)


What valuation guidelines are used while reporting foreign equity investment for listed companies?


This field will be automatically calculated in online web-based reporting (item 1.1, Section III). Companies are not required to compute it separately. However, for your information, If the Indian reporting company is listed then closing share price as on reference period, i.e. end-March of previous and current year should be used for valuation of non-resident equity investment.