Govt. approves 15 FDI proposals worth Rs.7261.60 crore
The government on Monday okayed 15 foreign direct investment proposals, amounting to Rs.7261.60 crore, deferring eight and rejecting ten. “Based on the recommendations of Foreign Investment Promotion Board (FIPB), the government has approved 15 foreign direct investment (FDI) proposals involving FDI of Rs.7261.60 crore and recommended one proposal for approval of CCEA involving FDI of Rs.6885 crore,” Ministry of Finance said on Monday. The maximum approval was sought by Nippon Life Insurance Company – A Japan-based insurance company – to acquire an additional 23% stake in Reliance Life Insurance Company Ltd., thereby raising its shareholding from earlier 26% to 49%, worth Rs.2265.5 crore. Tata AIA Life Insurance Company Ltd. also sought a $2055 crore approval to increase its stake in AIA International Ltd. from 26% to 49%. Another insurance major Sun Life Financial (India) Insurance Investments Inc. sought a Rs.1664 crore approval to increase its stake from 23% to 49% in Birla Sun Life Insurance Company Ltd., currently held by Aditya Birla Nuvo Ltd. Other companies whose FDI proposals were approved include Raheja QBE General Insurance Co. Ltd. for Rs.101.85 crore, International Asset Reconstruction Co. Pvt. Ltd. for Rs.150 crore, Almondz Insurance Brokers Pvt. Ltd. for Rs.45.54 crore, Beloorbayir Biotech Ltd. for 25 crore and Quantum Simulators Pvt Ltd. for Rs.14.7 crore. The government deferred eight proposals of various companies including Whirlpool Asia Pvt. Ltd., Bupa Singapore Holdings Pvt. Ltd., ICICI Prudential Life Insurance Company Ltd. and Gulf Quarry General Trading FZC among others. Ten proposals of companies; Apollo Hospitals Enterprise Ltd., You Broadband India Ltd., Hive Technologies, Barefoot Resorts and Leisure India Pvt. Ltd., Lupin Ltd. and Phenomenex India Pvt. Ltd. among others, were rejected by the government. Last week, the Finance Ministry had liberalised the foreign direct investment norms for insurance sector and had allowed 49% FDI though automatic route.
March 21, 2016 | 06:40pm IST