Government approves 9000 crore FDI proposal for Twin Star Technologies
The Dollar Business Bureau
On Wednesday, the Cabinet Committee on Economic Affairs approved a foreign investment proposal of Rs 9000 crore, put forward by Twin Star Technologies. The FDI proposal is expected to generate employment opportunities for 30,000 people in India.
According to the proposal, the Mauritius based company will invest the said amount in India on or before March 2025. The investment route will comprise a mix of equity, compulsorily convertible preference shares, compulsorily convertible debentures, and other FDI compliant instruments.
The proceeds of the investment will flow towards operations of Twin Star Technologies in India – a venture led by business magnate Anil Agarwal who is also the founder and Chairman of Vedanta Resources Plc. Vedanta’s business interests in India include power, oil and gas, zinc, copper, aluminium production.
The Mauritian proposal to the Government was approved under the automatic FDI route.
“Foreign direct investment of up to Rs9,000 crore will be received in the country (on or before March 2025) and will provide direct and indirect employment to over 30,000 people,” a press release from the government stated.
An announcement made by Twin Star Display Technologies last year indicated that the company would attract an investment of around Rs 68,000 crore in five phases to kickstart an LCD manufacturing facility. Manufacturing of LCD screens, which are a prime component of phones, laptops, TVs and tablets, will raise the share of locally produced components in electronics manufacturing. The onset of LCD manufacturing will contribute effectively to reduction of their imports – predicted to account for $10 billion of India’s import bill by 2020.
The government’s commitment to ‘Make in India’ and ‘Net zero electronic import by 2020’ will be boosted by the proposed FDI.