Saturday, November 1, 2008

The Indian government has cleared 40 foreign direct investment proposals

Based on the recommendations of Foreign Investment Promotion Board (FIPB) in its meeting held on 24th October, 2008, Finance Minister, Shri P. Chidambaram has approved 40 Proposals of Foreign Direct Investment amounting to Rs. 1498.51 Crore approximately. The proposals relate to Ministries/Departments, namely, Commerce, Economic Affairs, Industrial Policy & Promotion, Information & Broadcasting, Power, Urban Development, Information Technology, Telecommunication, Financial Services and Road Transport & Highways.

Details of the proposals approved are as follows:

Sl. No.

Name of the applicant

Particulars of the proposal

FDI/NRI inflows (Rs. In Crore)

COMMERCE

1

M/s Sherwin-Williams Company, USA

To invest in the Indian subsidiary to enable the conducting of test marketing and to set up retail stores for carrying out the contemplated test marketing activities.

2.40

2

M/s S. Oliver Bernd Freler Gmbh & Co.

To acquire 50% equity for retail trading under single brand.

US$

5 Million

(Rs.24.90 Crore)

ECONOMIC AFFAIRS

3

M/s ILFS-ORIX Trust Company Ltd., Mumbai

To make investment from the Foreign Offshore Fund into the Trust and to issue units in the Trust to the offshore fund.

400.00

4

M/s Pegasus Assets Reconstruction Pvt. Ltd., Mumbai

To subscribe to equity shares at a price higher than the price determined as per the pricing guidelines issued by the RBI.

51.66

5

M/s Alied Digital Service Ltd., Mumbai

Transfer of shares by way share swap.

No Fresh Inflow

6

M/s INX News Pvt. Ltd., Noida

(i) To issue equity shares for making downstream investment to the extent of 26% of the issued and outstanding equity share in the equity share capital of the applicant company, and (ii) Indirect foreign investment to the extent of approximately 12.01% of its equity capital, from and out of the above 26% equity holding.

26.00

7

M/s Ashoka Buildcon Ltd., Nasik

Conversion of operating company into an operating cum holding company to make downstream investment.

8.10

8

M/s Spicejet Ltd, Gurgaon

Issuance of warrants having option to convert into equivalent number of equity shares on preferential basis in one or more trenches for providing domestic airline service in India.

60.59

9

M/s Athena Project Private Ltd., New Delhi

Transfer of shares from Indian entity to NR.

71.25

10

M/s Croupier Prive Mauritius

To make investment in commodity exchanges.

47.57

11

M/s Etisalat Software Solutions Pvt. Ltd., Bangalore

Regularization of allotment of shares at a premium against the pre-incorporation expenses.

0.92

12

M/s Mahindra Holidays & Resorts India Ltd., Chennai

Conversion of operating company into an operating cum holding company to make downstream investment.

12.37

13

M/s Almondz Global Securities Ltd., New Delhi

Post-facto approval for foreign equity participation by way of subscribing to fully convertible warrants convertible into equity shares.

8.53

14

M/s Forum Ventures Pvt. Ltd., Kolkata

Conversion of operating company into an operating cum holding company to make downstream investment.

99.97

15

M/s Louis Vuitton Malletier

Conversion of operating company into an operating cum holding company to make downstream investment.

150.00

INDUSTRIAL POLICY & PROMOTION

16

M/s Kaal Flex Pvt. Ltd.

To issue equity shares at a premium against the payment made for installation of plant and machinery and providing technical training.

No Fresh Inflow

17

M/s Armet Armored Vehicles (India) Ltd., Kanpur

To set up a JV company to manufacture bodies (including Cabs) designed to be mounted on motor vehicles chassis for special purpose motor lorries, armoured cars etc.

2.55

INFORMATION & BROADCASTING

18

M/s Star CJ Network India Pvt. Ltd., Mumbai

To invest up to 100% to undertake the creation of television channels for the purpose of broadcasting and for distribution through media platforms.

0.01

POWER

19

M/s ISNI Electric Power Company Pvt. Ltd., USA

To issue and allot equity shares in consideration for Pre-incorporation expenses in power generation sector.

0.69

URBAN DEVELOPMENT

20

M/s U. DORI Engineering Works Corporation Ltd., Hyderabad

Conversion of operating company into an operating cum holding company to make downstream investment.

125.00

ECONOMIC AFFAIRS

21

M/s Marks & Spencer Plc

Conversion of operating company into an operating cum holding company.

No Fresh Inflow

22

M/s ABB Holdings (South Asia) Ltd.

Merger and allotment of shares pursuant to the orders passed by the Hon’ble High Court of Karnataka.

No Fresh Inflow

23

M/s SCI COM Technologies Pvt. Ltd.

To relax one of the conditions imposed in the approval letter, which requires the completion of the closure of Branch before allotting equity shares in discharge of consideration.

No Fresh Inflow

24

M/s Maanaveeya Holdings & Investments Pvt. Ltd.

(i) Removal of the one of the clause of the approval letter, and (ii) conversion of Redeemable Non Convertible Preference Shares into equity.

No Fresh Inflow

INDUSTRIAL POLICY & PROMOTION

25

M/s Philips Electronics India Ltd.

Conversion of operating company into an operating cum holding company to make downstream investment.

No Fresh Inflow

26

M/s Yamaha Motor India Pvt. Ltd.

Transfer of business operations and FC approval without transfer of equity.

No Fresh Inflow

27

M/s Barings India Ltd. (now known as Macquarie Capital Advisers (India) Pvt. Ltd.

Conversion of operating company into an operating cum holding company to make downstream investment.

No Fresh Inflow

INFORMATON & BROADCASTING

28

M/s Asianet Communications Ltd.

De-merger and transfer of shares by way of share swap.

No Fresh Inflow

INFORMATION & TECHNOLOGY

29

M/s Balaji Telefilms Ltd.

Ex-post facto approval for conversion of operating company into an operating cum holding company to make downstream investment.

No Fresh Inflow

30

M/s Geomysore Services (India) Pvt. Ltd.

Conversion of operating company into an operating cum holding company to make downstream investment.

No Fresh Inflow


TELECOMMUNICATION

31

M/s United Villages Networks Pvt. Ltd.

Deletion of one of the clause from the approval letter as the activity undertaken by the company is not categorized in that category.

No Fresh Inflow

COMMERCE

32

M/s Interglobe Enterprises Ltd., New Delhi

To set up a new JV to undertake the operation and management of one or more duty free shops.

0.51

33

M/s Mcleod Russel India Ltd., Kolkata

To increase in the limit of total holdings ;of all FIIs/sub-accounts of FIIs, put together, from 24% of the paid up (i) capital of the company to 40% of the paid up capital of the company; and (ii) value of respective series of convertible debentures of the company to 40% of the paid up value of the respective series of convertible debentures of the company. The company is engaged in growing, manufacturing and selling of bulk tea.

No Fresh Inflow

ECONOMIC AFFAIRS

34

M/s Tutorvista Global Pvt. Ltd., Chennai

Ex-post facto approval for conversion of operating company into an operating cum holding company.

No Fresh Inflow

35

M/s Adani Power Ltd., Ahmedabad

Post-Facto approval for conversion of operating company into an operating cum holding company to make downstream investment.

29.69

FINANCIAL SERVICES

36

M/s. Asset Reconstruction Co. (India) Ltd.

Induction of a new foreign collaborator and increase in the foreign equity participation from 5% to 14.66% in the Asset Reconstruction.

272.86

INFORMATION & BROADCASTING

37

M/s Russell Square Holding B.V. Neetherland

To setup a JV to undertake the business of Advertising. Proposal attracts Press Note 1 of 2005.

0.80

38

M/s Amar Ujala Publications Ltd.

Amalgamation of two companies consequent upon the order of Hon’ble High court.

No Fresh Inflow

ROAD TRANSPORT & HIGHWAYS

39

M/s Meka Infrastructure Pvt. Ltd., Mumbai

Conversion from operating company to operating cum holding company to make downstream Investment.

10.00

TELECOMMUNICATION

40

M/s Essel Shyam Communication Ltd., Noida

To acquire equity shares and issue of warrants to subscribe to compulsory convertible preference share.

92.14

The following 7 (Seven) proposals have been recommended to be deferred:

Sl. No

Name of the applicant

Particulars of the proposal

1

M/s Gallagher Mautitius Holdings, Mauritius

Transfer of shares by way of share swap in IT sector.

2

M/s World Space (I) Pvt. Ltd.

To provide/undertake the activities of web based services.

3

M/s ZF Friendrichsafen AG, Germany

To set up a new Joint Venture Company for manufacturing and marketing of rubber and rubber-to-metal parts for automotive industry, agriculture and construction machinery, railway and construction application. The proposal attracts Press Note 1 of 2005.

4

M/s G4S Corporate Services India Pvt. Ltd., Gurgaon

Conversion of existing status of operating company into foreign owned Indian Holding Company to make downstream investment.

5

M/s QuEST Manufacturing Pvt. Ltd., Bangalore

Conversion from operating company to operating cum holding company to make downstream Investment.

6

M/s Delight Investments Pte Ltd., Singapore

Induction of foreign equity in two Indian companies and to convert their status from operating company into operating –cum-holding company for making further downstream investments

7

M/s JT International Mauritius Pvt. Ltd

To increase in foreign shareholding from 50% to 74%.

The following 4 (Four) proposals have been rejected:

Sl. No

Name of the applicant

Particulars of the proposal

1

M/s Keppel Puravankara Development Pvt. Ltd., (KDPL), Bangalore

To sell a part of unused land out of the total plot which was initially acquired to undertake a construction/housing project.

2

M/s RISH PTE Ltd., Cook Islands

Post-facto approval for the FDI already brought in under automatic route, which otherwise requires FIPB approval.

3

M/s RISH PTE Ltd., Cook Islands

Post-facto approval for the FDI already brought in under automatic route, which otherwise requires FIPB approval.

4

M/s Geld Consultancy Services Pvt. Ltd., Mumbai

To set up JV to carry out the activities of Global Positioning System Hardware & Software and services and related equipment fields.





The following 2(Two) proposals have been recommended for the consideration of CCEA, as the investment involved in the proposals is above Rs. 600.00 Crore.

Sl. No

Name of the applicant

Particulars of the proposal

FDI/NRI inflows (Rs.In Crore)

1

M/s TPG India Investments I, Inc., Mauritius

(i) Issuance of warrants, and (ii) Conversion of operating company into an operating cum holding company to make downstream investment to carry out the activities of Investment holding company.

805.61

2

M/s Suzlon Energy Ltd., Ahmedabad

Conversion of operating company into an operating cum holding company to make downstream investment to carry out activities of production and manufacture of wind turbine generators and generating sets.

1800.00

1(One) proposal has been recommended for the consideration of CCEA, as the initial approval was granted by CCFI (now CCEA).

Sl. No

Name of the applicant

Particulars of the proposal

FDI/NRI inflows (Rs. In Crore)

1

M/s Pepsico India Holdings Pvt. Ltd.

To increase the approved equity from US$ 405 Million to US$ 455 Million and also to delete a condition in the approval letter. The initial proposal was approved by FIPB/CCFI.

US$ 50 Million (Rs.249.05 Crore)

BSC/SS/GN-283/08