August 24, 2016
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Foreign Direct Investment approvals expand permitted downstream acquisitions and equity increases following FIPB recommendations.
Central Government approved seven FIPB-recommended FDI proposals including a post facto approval for equity issued after a court-approved demerger in wholesale trading, amendment of prior approval conditions for an investing company/small finance bank, takeover of a publication, a downstream acquisition to make a pharmaceutical subsidiary wholly owned, intra-group acquisition of a minority pharmaceutical stake, acquisition of a healthcare company, and issuance of CCDs increasing foreign equity in a telecom company. Seven proposals were deferred for further scrutiny and five were rejected on policy or route-related grounds.