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        Case ID :
        Customs, DGFT & SEZ

        Government Approves 16 Proposals of Foreign Direct Investment Amounting to About Rs.1646.875 Crore

        June 18, 2013

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        Based on the recommendations of Foreign Investment Promotion Board (FIPB) in its meeting held on May 10, 2013, the Central Government has approved sixteen (16) proposals of Foreign Direct Investment (FDI) amounting to Rs.1646.875crore approximately.

        Details of Proposals considered in the Foreign Investment Promotion Board (FIPB) Meeting held on 10th May, 2013 are as follows:

        Following sixteen (16) proposals have been approved:

        Sl. No.

        Name of the applicant

        Particulars of the proposal

        FDI/NRI inflows

        (Rs. In crore)

        1

        M/s BTI Payments Private Limited, Bangalore

        To set-up White Label ATMs, as an additional activity, with additional FDI to be brought in from its parent company.

        108.50

        2

        M/s Korea Western Power Co. Ltd., Korea

        To invest in an Indian investing company.

        270.00

        3

        M/s Samvardhna Motherson International Limited

        Conversion of equity shares on non-repatriable basis to repatriable basis held by the foreign investor, in an investing company.  

        Nil

        4

        M/s Celio International Belgium

        To increase participation from 51% to 100% in an Indian company engaged in the business of single brand retail trading of products.

        39.50

        5

        M/s Vileroy & Boch AG, Germany

        To invest 50% equity in a proposed JV company for to carry out the business of single brand retail trading of products.

        1.12

        6

        M/s Multi Screen Media Pvt. Ltd

        Deletion of compounding condition.

        Nil

        7

        M/s Mylan Laboratories Ltd., Hyderabad

        An existing listed Indian pharma company with FDI to acquire entire business of manufacturing from another existing Indian pharma company.

        Nil

        8

        M/s Mylan Laboratories Limited, Andhra Pradesh

        An existing listed Indian pharma company with FDI to acquire entire business of manufacturing from another existing Indian pharma company.

        Nil

        9

        M/s Terumo Mauritius Holding Ltd

        Existing pharmaceutical company to increase foreign equity participation from 74% to 100%.

        90.00

        10

        M/s Medreich Ltd

        A foreign owned Indian pharma company to convert a 50% owned downstream pharma company into a WoS by means of internal accruals.

        Nil

        11

        M/s Darjeeling Organic Tea Estates Pvt. Ltd.

        To increase foreign equity participation from 49% to 60.50% from existing and four new foreign investors to carry out the business of production, distribution and export of tea.

        105.00

        12

        M/s SEAF International FDI, Mauritius

        To make foreign investment over a period of time by subscribing to one or more classes of units of a Fund making investment in food & agriculture related sector.

        22.375

        13

        M/s Aavishkar India Micro Venture Capital/ M/s Care Canada

        Transfer of units from NR to NR in a Domestic Venture Capital Fund

        Nil

        14

        M/s Maini Precision Products Pvt. Ltd

        Deletion of conditions requiring the prior approval of DGCA as well as compounding, from the approval letter dated 05.05.2011.

        Nil

        15

        M/s ABG Container Handling Pvt. Ltd., Mumbai

        Investing company proposes to receive foreign investment for making downstream investment.

        48.64

        16

        M/s Vijay Television Pvt. Ltd.

        The existing domestic shareholding in the non-news channel business is being acquired by the foreign promoters.

        961.74

         The following eight (8) proposals have been deferred:

        Sl. No

        Name of the applicant

        Particulars of the proposal

        1

        M/s Financial software and Systems Pvt. Ltd., Chennai

        An Indian financial software transaction processing solutions company having FDI proposes to engage in the additional activity of setting up, owning and operating White Label ATMs.

        2

        M/s Equitas Holdings Pvt. Ltd

        To increase FDI percentage in investing company by way of transfer of shares from Resident to Non-resident.

        3

        M/s Jeevan Telecasting Corporation Ltd

        MHA has proposed for revocation of existing approval.

        4

        M/s Greycells Education Ltd

        To issue warrant to carry out the business of educational services rendered by technical or vocational colleges, schools and other institutions.

        5

        M/s IL&FS Securities Services Ltd

        Merger of an Indian company into another Indian company, with the approval of Hon’ble High Court Mumbai.

        6

        M/s Maharashtra Transmission Communication Infrastructure Limited, Mumbai

        Post facto approval for issuance of 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.

        7

        M/s Sterlite Networks Limited

        Company engaged in the business of Infrastructure Provider Category-I (IP-I), in telecom sector to undertake additional activities and consequently proposes to reduce FDI from 100% to 74%.

        8

        M/s P5 Asia Holding Investments (Mauritius) Limited, Mauritius

        NR to NR transfer of shares to carry out the business of (a) Broadcasting a non- news and current affairs television channel namely “StarCJ alive” Channel; (b) wholesale cash and carry trading of products; and (c) creation of home shopping content for broadcast through any and all mediums, including the channel, all within India.

        The following two (2) proposals have been recommended to advise the applicant that the proposals are not within the purview of FIPB:

        Sl. No

        Name of the applicant

        Particulars of the proposal

        1

        Dr. A. Jawahar Palaniappan, USA

        Post facto approval for regularization of equity shares.   The company is engaged in the activity of printing magazines, telephone directories, text books, etc.

        2

        M/s Akzo Nobel India Ltd., Kolkata

        Conversion of unsecured loan into capital grant in the chemicals & paints sector.

        Decision in the following one (1) proposal has been kept in abeyance:

        Sl. No.

        Name of the applicant

        Particulars of the proposal

        8

        M/s Punj Lloyd

        Representation against the denial of security clearance.

         

        DSM/RS/ka

        (Release ID :96602) 

         

         

        Foreign direct investment approvals expand sectoral participation and ownership after government cleared multiple proposals in diverse industries. The government, on FIPB recommendations, approved sixteen FDI proposals involving increases in foreign equity, conversions of repatriation status, establishment of JVs and wholly owned subsidiaries, downstream investments, and acquisition of domestic shareholdings across sectors including payments, retail, pharmaceuticals, tea and broadcasting. Eight proposals were deferred for further scrutiny of sectoral compliance, transfer mechanics or security clearances, one was kept in abeyance pending representation on security denial, and two were advised as outside FIPB purview.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                Foreign direct investment approvals expand sectoral participation and ownership after government cleared multiple proposals in diverse industries.

                                The government, on FIPB recommendations, approved sixteen FDI proposals involving increases in foreign equity, conversions of repatriation status, establishment of JVs and wholly owned subsidiaries, downstream investments, and acquisition of domestic shareholdings across sectors including payments, retail, pharmaceuticals, tea and broadcasting. Eight proposals were deferred for further scrutiny of sectoral compliance, transfer mechanics or security clearances, one was kept in abeyance pending representation on security denial, and two were advised as outside FIPB purview.





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