Govt defers Pepsico's $200 mn investment proposal

The government has deferred a decision on Pepsico India Holding's proposal to invest $200 million (about Rs 930 crore) in the next three years.

The company had sought the approval to invest an additional $200 million over a period of three years that would take its overall investment in India to $655 million from the current $455 million.

The proposal for induction of foreign equity (by Pepsico) has been deferred, an official statement said, without specifying reasons for the deferment.

Sources, however, said the Department of Revenue had asked the Foreign Investment Promotion Board (FIPB) to defer Pepsico's proposal as the beverages and snacks major was yet to furnish some information sought by them.

Pepsico manufactures and markets carbonated soft drinks and other beverages under the brands such as Seven Up, Nimbooz and Pepsi. It also sells snacks under a separate division Frito-Lay.