Decision on Vodafone-Essar FDI issue on Aug 5

The Finance Ministry will take up 40 proposals of foreign direct investment, including that of Vodafone-Essar and Walt Disney Company India on Friday.

A FDI proposal of Essar Capital Holdings is also on the agenda of the Foreign Investment Promotion Board (FIPB) headed by Economic Affairs Secretary R Gopalan scheduled to meet on August 5.

The Mumbai-based company is seeking the Board's approval for acquisition of equity shares in an investing company engaged in the telecom sector. A decision on its request is pending since February 2010,

Besides, the Board is also likely to take a call on the request of Mauritius-based Prime Metals, an indirect subsidiary of UK-based Vodafone International, seeking permission to buy 5.48 per cent stake in the Vodafone-Essar for about Rs 2,700 crore.

Decision on the request was deferred in the last meeting as the Board did not get comments from Home and Telecom ministries.

Walt Disney Company India is seeking FIPB nod to undertake activity of broadcasting and downlinking.

Dish TV's request regarding business of telecommunication equipment and providing management and marketing of 'agrani' services -- mobile satellite communications-- is also on agenda.

The other requests that are on the agenda include that of Jindal Agro Processing, Pipavav Defence and Offshore Engineering Company, Sprint International Holding Inc and Air Charter Service Group Plc.

The FIPB in its last meeting had cleared 31 FDI proposals worth Rs 3,844.7 crore.

The FIPB offers a single window clearance for proposals on FDI that are not allowed through the automatic route.