Govt clears 10 FDI proposals worth Rs 1,123 cr

The government today cleared 10 foreign direct investment (FDI) proposals worth over Rs 1,123 crore, a major share of which is expected to be brought in by the Essel Group promoted direct-to-home service provider, Dish TV India.

On the recommendation of the Foreign Investment Promotion Board, the government, however, deferred nine proposals -- that of Taneja Aerospace, Eads Deutchland GmbH and Larsen & Toubro's, Tecnotree Convergence, Devas Multimedia, Exensys Software Solutions, India Rizing Fund, Unitech Wireless (Tamil Nadu), Rish Private Ltd, and ByCell Telecommunication.

Three proposals, of Chennai-based Asha Micro Credit, Cholamandalam DBS Finance, and Cargil & Financial Services India, were rejected.

Dish TV India plans to issue convertible bonds to persons resident outside India to raise up to $150 million (about Rs 750 crore) for investments towards import of capital goods, overseas direct investment in joint ventures, or wholly owned subsidiaries, among others.

The company has the approval to set up a joint venture to produce telecommunication equipment and provide management and marketing of 'agrani' services in the area of satellite communications.

The approved foreign equity participation in the joint venture is 49 per cent and the foreign collaborators include Afro-Asian Satellite Communication Ltd, Delgrada Ltd and Lazarus Investment Ltd.