Centre approves 18 FDI proposals

Delhi: The Government on Friday approved 18 foreign direct investment (FDI) proposals worth Rs. 1,553.26 crore including that of Essar Group, Japan’s Teikoku Piston Ring and French insurer Societe Beaujjon.

The Foreign Investment Promotion Board (FIPB) had earlier given its recommendation to these proposals on March 7. The largest FDI proposal that was approved involved an investment of Rs 560 crore by Essar Global in Essar Capital. ECL is likely to make downstream investment in the financial/NBFC sector.

JSW Energy’s Rs 63.23 crore plan for FDI in a holding company through an initial public offering was also approved.

Teikoku plans to set up a wholly owned subsidiary in India with an initial investment of Rs 40 crore to manufacture and sell cylinder liners, piston rings and import and export of related auto parts, materials and equipment. Paris-based Societe Beaujjon is proposing a Rs 191-crore indirect investment in an insurance company through a holding company.

The Government also deferred decision on seven FDI proposals while rejecting four of them. The proposal of SingTel Australia Holding Pte Ltd is among those that have been deferred. The proposal involves setting up of a joint venture company with foreign equity up to 74 per cent to undertake telecom services. The proposal attracts Press Note 1, 2005 series.