In the stock market, when Foreign Institutional Investors (FIIs) consistently increase their stake in a company, it is considered a strong indicator of growth potential. Over the past four quarters, FIIs have steadily raised their holdings in several small-cap companies. Here are the six small-cap stocks where FII investment has been rising continuously.
Force Motors Limited
Founded in 1958, this Indian automotive company manufactures commercial and utility vehicles. It operates in both domestic and international markets.
- Market Cap: ₹23,712.78 crore
- Current Price: ₹18,194.55 per share (↑1.65%)
- FII Holding: 8.15% (Dec 2024) to 10.27% (Sept 2025)
FIIs have increased their stake for four consecutive quarters. In the most recent quarter alone, FII ownership rose from 9.77% to 10.27%. This indicates strong confidence in the future growth of Force Motors.
Avalon Technologies Limited
Avalon Technologies, founded in 1999, is an Indian Electronics Manufacturing Services (EMS) company operating in the clean energy, mobility, and communication sectors.
- Market Cap: ₹6,924.32 crore
- Current Price: ₹1,037.60 (↓2.10%)
- FII Holding: 5.39% (Dec 2024) to 10.04% (Sept 2025)
FII stake has more than doubled over the past year, showing that global investors strongly believe in the company’s long-term prospects.
Sai Life Sciences Limited
Established in 1999, Sai Life Sciences provides research, development, and manufacturing solutions for the pharmaceutical sector. It works with several global biotech and pharma giants.
- Market Cap: ₹18,357.63 crore
- Current Price: ₹874.50 (↓5.16%)
- FII Holding: 11.72% (Dec 2024) to 22.49% (Sept 2025)
FIIs have consistently increased their stake over four quarters. From June to September 2025 alone, FII ownership jumped 7.92%, signaling strong investor confidence in the company’s performance and pipeline.
Rama Steel Tubes Limited
Founded in 1974, Rama Steel Tubes manufactures steel pipes and tubes and supplies products to both domestic and international markets.
- Market Cap: ₹1,645.53 crore
- Current Price: ₹10.56 (↑3.63%)
- FII Holding: 0.07% (Dec 2024) to 5.45% (Sept 2025)
This sharp increase—from just 0.07% to 5.45% within a year—reflects rising foreign confidence and growing interest in the small-cap manufacturing sector.
Clean Science and Technology Limited
Founded in 2003, Clean Science is a specialty chemicals company that uses eco-friendly processes to manufacture chemicals for the pharma, polymer, and agro industries.
- Market Cap: ₹9,958.39 crore
- Current Price: ₹937.05 (↓4.57%)
- FII Holding: 5.98% (Dec 2024) to 11.14% (Sept 2025)
FII exposure has increased for four consecutive quarters, indicating strong faith in the company’s innovation-driven growth model.
Indegene Limited
Founded in 1998, Indegene is a digital-first life sciences company that provides medical, regulatory, and commercial technology solutions to pharma and biotech firms.
- Market Cap: ₹12,562.91 crore
- Current Price: ₹523.15 (↓1.35%)
- FII Holding: 5.03% (Dec 2024) to 11.30% (Sept 2025)
FIIs have gradually increased their stake every quarter, reflecting global investors’ belief in the long-term potential of the healthcare technology sector.
Conclusion
These six small-cap companies are currently among the favorites of foreign investors. The steady rise in FII buying indicates strong business performance and a positive growth outlook.
For investors, understanding this trend is important because when major foreign players show confidence in a sector or company, it often shapes broader market sentiment as well.
