Indian Government has approved 18 proposals of Foreign Direct Investment (FDI) valued approximately at 2126.20 crore, based on the recommendations of Foreign Investment Promotion Board (FIPB), according to Press Information Bureau. Among the Internet, Mobile and Media proposals, Unitech Wireless (TN) Pvt. Ltd’s proposal of inducting foreign equity to provide unified access services has been recommended for the consideration of Cabinet Committee on Economic Affairs (CCEA), since the proposed investment i.e. Rs 8250 crore is much higher than the threshold limit of FIPB, which currently stands at Rs 1200 crore. Previously Telenor’s proposed Rs 3740 crore investment in Unitech Wireless was also referred to the CCEA on the account of going over FIPB’s earlier threshold limit of Rs 600 crore.
Vodafone Essar Ltd’s Rs 2835 crore proposal to transfer of shares from Resident to Non-Resident account to carry out telecommunication activities, which was deferred in July 2011, has also been “recommended for consideration on file”, after receiving inputs from departments.
Among the companies which has received approvals from the FIPB include the following:
NDTV Lifestyle Ltd: Increase in foreign equity up to 100 percent. The company is engaged in the media industry for up-linking, producing, distributing and broadcasting non-news and non- current affairs TV channels.
Dish TV India Ltd: To increase foreign equity to produce telecommunication equipment and provide management and marketing of ‘agrani’ services, i.e. in the area of Mobile Satellite Communications. The company has received an approval for an investment of up to Rs 980 crore.
Sprint International Holding Inc., Overland Park, Kansas: Induction of foreign equity into an Indian company to provide wireline-based national long distance, international long distance and Internet services as well as advanced managed network services to companies operating in India. The company has received an approval for an investment of up to Rs 6.25 crore.
The proposals which has been deferred by the government till later include:
– Omnimedia SL: To undertake the business of publishing/ printing of scientific and technical magazines/ specialty journals/ periodicals in the name and style of “Energetica-India” and circulation of its digital version.
– Springer India Pvt. Ltd: To increase foreign equity upto 100% to carry out the business of publishing and re-printing of scientific, technical, medical and other no-fiction books in electronic and printed forms in any language.
In addition, a decision on a possibly related company has been deferred – Springer Editorial Services Pvt. Ltd.. Springer Editorial was looking to To increase foreign equity upto 100% to carry on the business of publishing services, content, development, content management, content outsourcing, providing a comprehensive service including data conversion, editorial services, pre-press, pre-media services, digital communication services, data based management, digitization services, data based engineering.
– Reed Elsevier India Pvt. Ltd: To undertake the additional activity relating to the business of publishing and co-publishing (in and outside India), including digital publishing, printing, reprinting, adaptation, article reprinting, repackaging, translation, distribution of scientific, technical, medical, specialty and research journals/magazines/periodicals in any media including print media.
– Cordia International Corp., USA: To increase shareholding from 49 percent to 74 percent to carry out the business of telecommunication and act as a services provider. Services include but are not limited to the provision of IP communication services and related services, technology related products and services, web hosting, collection and ISP services.
Among the proposals that have been rejected include:
– Munoth G’Five Telecom, Chennai: Induction of foreign equity to carry out the business of whole sale distribution of mobile phones, laptops, pads and value added service for mobile phones.
– Axiata Investments 2 (India) Ltd: Induction of foreign equity in an Indian company engaged in the business of Telecom Service Provider.