India’s Foreign Investment promotion Board (FIPB) has approved 21 Proposals of Foreign Direct Investment including what is apparently Tikona Digital Network‘s acquisition of networking services company HCL Infinet, and Augere Wireless Broadband‘s application to increase foreign equity in the company, from 49% to 74%.
Tikona, a wireless broadband ISP with BWA spectrum in five circles had announced the acquisition of HCL Infinet, a wholly owned enterprise networking services subsidiary of IT major HCL Infosystems, in January 2011 and was waiting for FIPB nod, since it has five foreign investors on board, including Goldman Sachs Investment Partners, Indivision India Partners, Oak India Investments and Green Lotus Investments.
Through the acquisition, Tikona, which has so far launched consumer facing wireless broadband services in unlicensed spectrum, will be able to cater to the more lucrative enterprise services base, with faster wireless services. HCL Infinet provides Internet access services, virtual private network, Network Management, Data Centre, CoLocation, Internet Telephony, Enterprise Mailing Solutions etc to enterprises in Aviation, Manufacturing, Banking and Financial Institutions, FMCG, Education,Banking and Financial Institutions, FMCG, Education,and others.
Meanwhile, Augere Wireless Broadband, a UK based company, which had won Broadband Wireless Access spectrum in Madhya Pradesh for Rs. 124.66 crore, had sought to increase foreign equity from 49% to 74%, to offer broadband wireless, internet and other related services. After deferring its decision earlier, the FIPB has approved the proposal and has allowed a fresh FDI inflow of Rs 54 crore in the company. Investors in the company include Harbinger Capital, France Telecom, New Silk Route and Vedanta Opportunity Fund as well as its founder, Sanjiv Ahuja, former CEO of Orange.