The Centre has approved 16 proposals of foreign direct investment (FDI) worth ₹ 6,751 crore including those of Torrent Pharmaceuticals, Star India and Syngene International Limited.

These 16 proposals were considered by the foreign investment promotion board (FIPB) at its meeting on May 28 this year.

Torrent Pharmaceuticals’ proposal related to increase in foreign institutional investors (FII) investment limit from 13.09 per cent to 35 per cent involving an amount of ₹ 3,000 crore.

In the case of Star India Private Limited, Government approval was sought for further issuance and transfer of shares to its foreign collaborator and acquisition of broadcasting business of another Indian company engaged in broadcasting sector on a slump sale basis. The proposal involved FDI of ₹ 2,500 crore.

In February this year, Star India had announced the acquisition of MAA Television Network for an undisclosed amount, which was speculated to be about ₹ 2,500 crore.

In the case of Syngene International, a subsidiary of Biocon, the proposal related to allowing an increase in foreign investment to 44 per cent from the approved percentage of 10 per cent by way of initial public offering (IPO). Market regulator SEBI had recently given its nod for Syngenta’s IPO. This proposal involved a foreign investment inflow of ₹ 930 crore.

The other FDI proposals that got the Centre’s nod include Stericat Gut Strings Pvt Ltd (₹ 43.52 crore), Ordain Health Care Global (₹ 23.34 crore), India Value Fund IV (up to ₹ 200 crore).

The Centre has however rejected six proposals including that of Strides Arcolab Limited and IIFL Holdings Ltd.

Strides Arcolab had sought Government approval for issuing shares to non-resident and resident equity shareholders of Shasun Pharmaceuticals Limited under a scheme of merger.

IIFL Holdings Limited, a non banking finance company, had sought approval for increasing foreign equity from 54.7 percent to 100 percent by way of issuing shares to FIIs.

Srivats.kr@thehindu.co.in

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