image

FDI :: Government Approves 17 Proposals for Foreign Direct Investment

Based on the recommendations of Foreign Investment Promotion Board (FIPB) in its meeting held on July 29, 2013, the Government has approved17 Proposals of Foreign Direct Investment (FDI) amounting to Rs. 992.61crore approximately.

In addition, one proposal viz., M/s Jet Airways India Ltd., amounting to Rs. 2057.66 crore, has been recommended for consideration of Cabinet Committee on Economic Affairs (CCEA).

Details of Proposals considered in the Foreign Investment Promotion Board (FIPB) Meeting held on29.07.2013.

Following 17 (Seventeen) proposals have been approved.

Sl. No.

Name of theapplicant

Particulars of the proposal

FDI/NRI in flows (Rs. In crore)

1

M/s GlobionIndia Private Limited, Hyderabad Approval sought for additional investment from the foreign collaborator into a brownfield pharma company engaged in manufacture of poultry vaccines and post-facto approval for FDI received in September, 2012.

1.17

2

M/s CelonLaboratories Ltd., Andhra Pradesh A brownfield pharma company to issue additional shares to a FVCI.

12.55

3

M/s Smith & Nephew Pte Ltd., Singapore A foreign company to acquire 100% shares of an Indianpharma company engaged in the manufacture and sale oforthopaedic implants and other medical devices.

142.29

4

M/s Calyx Chemicals & Pharmaceuticals Ltd. An Indian pharma company has sought approval for fresh public issue of shares in which foreign investors/FIIs may participate.

200.00

5

M/s FreseniusKabi (Singapore)Pte. Ltd., Singapore A foreign company to acquire the shares of its subsidiary Indian company from residents as well as non- residents for delisting of the Indian company.

349.03

6

M/s VakrangeeSoftwares Limited, Mumbai The applicant company to set up White Label ATMs as an additional activity

No Fresh inflow

7

M/s MicrosecFinancial Services Limited, Kolkata An Indian NBFC company having NRI & FII investment to set up, own and operate white Label ATMs.

No Fresh inflow

8

M/s MuthootFinance Limited,Kerela An existing NBFC having FDI, to set up White Label ATMs.

 

No Fresh inflow

9

M/s BibbyFinancial Services (India) Pvt. Ltd.,Gurgaon An NBFC engaged in the Factoring business has sought FIPB approval for the period of about two years from March, 2010 March, 2012 when it was not in compliance with the minimum capitalisation norms.

49.5

10

M/s AurionproSolutions Limited To acquire through its US subsidiary, the business assets of an overseas US company and also 100% ownership of a UK company through part cash and part swap of shares of the Indian company.

Nil

11

M/sIndiaquotientInvestment Trust, Mumbai A Category 1 Alternative Investment Fund Trust under the SEBI (AIF) Regulation, 2012, proposes to accept investment from a foreign investor over a period of time by issuing one or more classes of units.

8.14

12

M/s Penguin Books India Ltd An existing publishing Company to increase the FDI from 55% to 100% through resident to non-resident transfer of equity shares

54.64

13

M/s TourvestHoldings (Pty) Ltd., Houghton Approval has been sought for running duty free shop at Mumbai airport and post facto approval for issue of equity shares against pre-incorporation expenses.

18.00

14

M/s SterliteNetwoks Limited The company which is engaged as an Infrastructure Provider Category-I (IP-I), in telecom sector  proposes to undertake additional activities and consequently proposes to reduce FDI from 100% to 74%.

Nil

15

M/s Maharashtra Transmission Communication Infrastructure Limited, Mumbai To issue FDI compliant instruments to an Indian company having foreign equity participation and other foreign investors to undertake the business of providing telecom services in the IP Category I.

2.85

16

M/s GatiLimited, Andhra Pradesh Transfer of shares of a Courier company from a resident to a NR logistics company.

0.43

17

Mr. RamneekSingh, Amritsar To set up an LLP with 93.34% foreign equity to undertakeagri-export business

154.00

The following 5 (Five) proposals have been deferred:

Sl. No

Name of theapplicant

Particulars of the proposal

1

M/s IEnergyWind Farms (Theni) Pvt. Ltd., Chennai Ex-post-facto approval for issue of shares before receipt of inward remittances.

2

Viacom 18 Media Pvt. Ltd. Deletion of one the conditions in its FIPB approval.  M/s Viacom 18 is engaged in the activities of broadcasting non-news and non-current affairs television channels.

3

M/s BF ElbitAdvanced Systems Pvt. Ltd., Pune To set up a new Joint Venture company to be engaged in design, development, manufacturing of defence related products

4

M/s AerriantaInternational CPT, Ireland To set up a 50:50 JV company to engage in running duty free shops at Mumbai airport.

5

M/s Security International Services India Pvt. Ltd., Delhi A Security Services Company to give 49% ownership to a foreign company, by a way of fresh issue of shares.

The following 5 (Five) proposals have been rejected:

Sl. No

Name of theapplicant

Particulars of the proposal

1

M/s GuetermannIndia Pvt. Ltd., Haryana Ex Post facto approval sought for issuance of shares on account of the assets transferred on the closure of liaison office of the company into its WoS engaged in manufacture of liaison office of sewing threads.

2

M/s Johnson Electronic Pvt. Ltd., Chennai Post facto approval for capitalization of pre-operative/pre-incorporation expenses in a customised motion solutions company engaged in the business of manufactures and trades in customized motion solutions.

3

M/s ElumatecIndia Pvt. Ltd., Mumbai Capitalisation of import payables for part settlement of amount due to foreign collaborator of an Indian WoS in the aluminium machinery sector.

4

M/s Laird Technologies India Pvt. Ltd., Andhra Pradesh Post facto approval for issuance of CCDs against pre-operative expenses borne by the foreign collaborator.

 

5

M/s Quantum Technologies, LLC, USA and M/s Quantum Technologies, INC, USA A proposal for simulators IT Services in defence sector with 26% Investment.

 

The following 01 (One) proposal has been recommended for the consideration of CCEA, as the investment involved in the proposals is above Rs. 1200.00 crore.

Sl. No

Name of theapplicant

Particulars of the proposal

FDI/NRIinflows

(Rs. in crore)

12

M/s Jet Airways India Ltd. A foreign state owned Airline proposes by way of preferential allotment, to acquire 24% of equity shares of an Indian airline and subsequently transfer the same to its WoS.

2057.66

Decision in the following 4 (Four) proposals have been kept in abeyance:

Sl. No

Name of the applicant

Particulars of the proposal

1

M/s Lotus SurgicalSpecialities Pvt. Ltd., Mumbai An investing company to make downstream investment in an existing company through transfer fresh issue of shares of the downstream entity to a foreign Fund.

2

M/s Tandberg Technology India Pvt. Ltd., Bangalore Post facto approval for shares issued to a foreign company against pre-incorporation expenses in a computer consulting and audio/video equipments company.

3

M/s Nexus Flight Operation Services LLC, Saudi Arabia Marginal increase in FDI through fresh issue of shares of an Indian company engaged in ground handling services in airports.

4

M/s Bharti Shipyard Ltd., Mumbai Indian company in shipbuilding sector which has existing FDI through FIIs and NRIs proposes to undertake defence activities.

Tags: FDIFIPBforeign direct investmentForeign Investment Promotion BoardGovernmentIndiaMumbaiSingapore

profile image

About eMinds Legal

eMinds Legal

eMinds Legal is a Corporate Law Firm based in Gurgaon, India specializing in Corporate Legal, Corporate Secretarial and Compliance. The Firm comprises of a team of Corporate Lawyers and Company Secretaries with in-depth subject matter knowledge and participative industry experience of over 15 years.

Corporate Law Referencer

Recent Articles

Recent Legal updates

Recent Gst Updates