The government has approved three Foreign Direct Investment (FDI) proposals worth Rs 60.73 crore, based on the recommendations of the Foreign Investment Promotion Board (FIPB) in its 234th meeting, all related to the pharmaceutical sector viz. Wockhardt, Aurobindo Pharma and Advanced Enzyme Technologies. FIPB has also recommended one Axis Bank’s proposal worth Rs. 12,973.14 crore for approval of Cabinet Committee on Economic Affairs (CCEA). This is in line with the government's decision to refer all FDI proposals above Rs. 5,000 crore to the CCEA.
The highest FDI proposal which got the nod was from Advanced Enzyme Technologies. The company sought approval for investment proposed to be made by FIIs / NRIs / FPIs / QFIs / AIF/FVCIs pursuant to fresh issue of and offer for sale of 44,73,470 equity shares by certain NRIs and resident shareholders worth Rs 60 crore. The other two companies whose proposals were approved include Wockhardt, which asked for post facto approval for issuance of ESOPs to its two NRI employees, and Aurobindo Pharma which sought clarification and approval regarding grant of ESOPs to a non-resident employee.
Meanwhile, eight FDI proposals including those from Macmillan Publishers, UK, JCB International, Janalakshmi Financial Services and Fans Asia have been deferred, while a proposal by Rafique Dawood in the manufacturing sector has been rejected.