New Delhi, Feb. 13 -- The Reserve Bank of India (RBI) has confirmed that Japan's Mitsubishi UFJ Financial Group (MUFG) doesn't require prior regulatory permission to participate in the Shriram Finance preferential issue, the company informed in an exchange filing issued on Friday, 13 February.

In December last year, Shriram Finance announced a stake sale of 20% to MUFG , which will involve a preferential issuance of equity shares valued at Rs.39,618 crores, subject to shareholder and regulatory approvals. The proposed transaction will mark the largest foreign direct investment (FDI) in India's financial sector to date, the company then stated.

"We have been informed by the Investor that the Reserve Bank of India ("RBI") has confirmed th...