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Tag: FDI

  • Broadcast media sector FDI norms see minor tweaks in govt’s fresh announcement

    Broadcast media sector FDI norms see minor tweaks in govt’s fresh announcement

    NEW DELHI: The government of India yesterday issued a comprehensive FDI policy for various sectors where a slight change has been noticed in the media sector from what had already been announced in June 2016. Now, 100 per cent FDI is allowed in cable TV and HITS under automatic route for both digital and non-digital carriage services.

    For those segments of the media where automatic FDI approval is not granted and a government okay is needed, it would now be the nodal ministry — Ministry of Information and Broadcasting (MIB) — that would be responsible for the green signal instead of Commerce Ministry’s Foreign Investment Promotion Board, a division that has been now dismantled as part of government’s bid to make easy doing business in India.

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    FDI in broadcast carriage services like teleports, DTH, cable networks (both MSOs and LCOs for DAS and non-DAS areas), mobile TV, headend-in-the-sky broadcasting service (HITS) is 100 per cent under automatic route.

    The foreign investment limit (FDI) in terrestrial broadcasting of FM Radio and up-linking of news and current affairs TV channels remain at 49 per cent subject to government approval. Up-linking and downlinking of non-news and current affairs TV channels continue to be 100 per cent under automatic route.

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    Publishing of newspaper and periodicals dealing with news and current affairs  and publication of Indian editions of foreign magazines dealing with news and current affairs have a 26 per cent FDI limit subject to government approval.

    The head of an MSO company, on condition of anonymity, said it’s slightly confusing as to why it has been stated that 100 per cent FDI is allowed for carriage services like cable TV and HITS in both digital and non-digital areas  under automatic route.

    Though the government is of the opinion that 100 per cent digitization has been achieved in the country, broadcast carriage industry (MSOs and LCOs) insist there analog pockets in the country persist as set-top-boxes are still being seeded in small towns and rural areas.

    The government has also notified — most of it reiteration of earlier policy decision — detailed conditions for the broadcast media and they can be viewed at http://dipp.nic.in/sites/default/files/CFPC_2017_FINAL_RELEASED_28.8.17.pdf:

    ALSO READ:

    Radical changes in FDI regime; Most sectors on automatic FDI route

    I&B Sector brings in over $1.25 billion  FDI between October 2014 and May 2016

     

     

     

  • FDI proposals in print, broadcasting to be cleared by MIB; satellites by DoS

    MUMBAI: 5 June, 2017. That’s the date the Indian government announced that all foreign  direct investment (FDI) proposals  relating to the print and broadcast sector will be approved by the ministry of information and broadcasting (MIB).

    Approvals for proposals relating to satellite and telecom FDI investment have been put under the ambit of the department of space and department of telecom, ministry of communications, respectively.

    This was announced by the government  through a circular issued on the foreign investment promotions board (FIPB) website by ministry of finance joint secretary Saurabh Garg. The circular has pointed out that the following ministries will provide approval for foreign capital inflow proposals:

    *Ministry of mines (mining), department of defence production,

    *ministry of defence (defence),

    *ministry of homes affairs (FDI in small arms manufacturing),

    * ministry of civil aviation (aviation),

    *ministry of home affairs (private security agencies),

    *department of industrial policy and promotion (DIPP), ministry of commerce & industry (trading – single and multi brand and food products retail trading),

    *department of financial services, ministry of finance (banking – both public and private);

    *department of economic affairs (DEA), ministry of finance (financial services in areas where there is no regulator or more than one or ambiguity about the regulator)

    * department of pharmaceuticals, ministry of chemicals & fertilizers (pharamceuticals)

    The circular has also stated that NRI FDI proposals or FDI proposals for  export oriented units will continue to come under the ambit of the DIPP and will be processed by it. The DIPP will also have the responsibility to identify the right ministry if there is a doubt about who should deal with an FDI application. Applications for FDI into core investment companies or into Indian investment companies which will solely invest in Indian companies will need the DEA approval no matter which sector the investment is being made, says the circular.

    Investors  will continue making their FDI applications through the FIPB portal, the oversight of which is being transferred to the DIPP from the DEA by next month.

    The government has stated that the DIPP will lay down a standard operating procedure (SOP)  in consultation with each department/ministry.  It has stated that the SOP could involve the inter-ministerial committee (IMC) where necessary and it has to have a consistency of treatment and uniformity of approach towards all sectors. It has also ordered that departments and administrative ministries will need to get the approval  of the minister in charge/cabinet committee on economic affairs on each FDI application as per the FDI policy.

    Also Read :

    Star Den, Flag Telecom, You & Idea FDI meet on 28 Dec

    Top M&E industry honchos see no major benefit from Budget ’17

     

     

  • You Broadband-Vodafone proposal accepted, Atria & Netmagic FDI cleared

    NEW DELHI: The government has accepted a proposal by Vodafone India Ltd for acquisition of 100% shares of M/s You Broadband India Limited by way of transfer from resident shareholders and non-resident shareholder. A 100% foreign owned company, Vodafone, will invest Rs 550.9 million as direct investment.

    The finance ministry, on the recommendation of the Foreign Investments Promotion Board, has also accepted a post facto proposal of You Broadband India Limited for acquisition of 9,79,875 equity shares of its downstream company Digital Outsourcing Private Limited (DOPL) in lieu of issue of 20,58,759 equity shares to its resident shareholders by way of swap of shares. This does not involve any fresh inflow of FDI.

    A proposal by Atria Convergence Technologies Private Limited for transfer of 0.99% of shares currently held by resident shareholders to the existing foreign investors Argan (Mauritius) Limited, Mauritius, and TA FVCI Investors Limited, Mauritius, and also for acquisition of up to 100% shares of the investee company by the foreign investors M/s Argan (Mauritius) Limited and TA FVCI Investors Limited, in future depending upon the exigencies of the remaining Indian resident shareholders. This will involve a fresh inflow of Rs 350 million in FDI.

    JC Decaux Advertising India Private Limited, an existing foreign owned company engaged in the activity of Out-of-Home advertising, has been permitted to bring in Rs 350 million for expansion of its business into telecom sector as a telecom infrastructure service provider.

    Netmagic Solutions Private Limited has been allowed to increase the foreign shareholding of the company from 81.63% to 100% by NTT Communications Corporation, Japan, with a fresh inflow of Rs 5.3383 billion FDI. FIPB has referred to the Cabinet Committee on Economic Affairs (CCEA) a proposal by

    Flag Telecom Singapore Pte Limited, Singapore, an indirect wholly-owned subsidiary of Reliance Communications, India, to acquire 100% shares of Reliance Global Cloud Xchange Limited. The amount involved as FDI is Rs 7.89 billion.

    (It may be recalled that Finance Minister Arun Jaitley had in his budget on 1 February announced his proposal to scrap the FIPB.)

  • Climate favourable for FDI, Flag, Crest, You & Netmagic in queue

    Climate favourable for FDI, Flag, Crest, You & Netmagic in queue

    MUMBAI: The business climate seems to be favourable for more and better inflow of foreign direct investments into India. As the government took steps to improve ease of doing business and relax regulations, foreign direct investment into India grew by 60 per cent to US$ 4.68 billion in November 2016 as compared to US$ 2.93 billion the previous November.

    Star Den Media Services and Idea Cellular are among six proposals recently cleared by the government for receiving foreign direct investment (FDI) of around Rs 1,200 crore.

    Among the proposals that have been deferred for further discussions are — Flag Telecom Singapore Pte Limited, Crest Premedia Solutions Pvt. Ltd, You Broadband India Limited and Netmagic Solutions Pvt. Ltd. Flag Telecom is an indirect wholly-owned subsidiary of Reliance Communications (RCom).

    A proposal by M/s Crest Premedia Solutions Pvt. Ltd seeking approval for issuance of equity shares to the non-resident shareholders of M/s Springer SBM Holding Ltd., a Mauritius Company under a Scheme of Amalgamation was also deferred. 

    M/s You Broadband India Limited had sought post facto approval for acquisition of 9,79,875 equity shares of its downstream company M/s Digital Outsourcing Private Limited (DOPL) in lieu of issue of 20,58,759 equity shares to its resident shareholders by way of swap of shares but this was deferred.

    A proposal by Netmagic Solutions Pvt. Ltd for the increase in the shareholding of NTT Communications Corporation, Japan in the company from 81.63 per cent to 100 per cent was deferred.

    Cumulatively, India attracted US$ 32.49 billion foreign inflows in April-November period of the current fiscal as against US$ 24.81 billion in the same period previous year.

    The main sectors which have attracted foreign inflows during the eight months period of 2016-17 include telecom (US$ 5.47 billion) and information & broadcasting (US$ 1.06 billion).

    Foreign investments are considered crucial for India, which needs around US$ 1 trillion for overhauling its infrastructure sector such as ports, airports and highways to boost growth.

    Also Read:

    Idea, Star Den among Rs-1200 cr FDI proposals approved; latter to switch to investing biz

  • Top M&E industry honchos see no major benefit from Budget ’17

    Top M&E industry honchos see no major benefit from Budget ’17

    MUMBAI: With the Union Budget’s focus on rural and infrastructure sectors, the media and entertainment (M&E) industry seems to be disappointed as the budget does not offer much. Though the sector is hoping to get some benefit through the digital push mentioned in the budget, expectations were high as the budget overlooked the sector even in the previous two budgets.

    No clarity on foreign direct investment (FDI) policy, goods and services tax (GST), no further reduction in the service tax, no direct benefit for the digital ecosystem, MSOs, telecom, and many such misses has upset the M&E industry at large.

    Impetus on digital payments and transactions will eventually help the OTTs/VoDs platforms subscription model. The government’s move to abolish Foreign Investment Promotion Board (FIPB) is believed to make it largely easier for foreign investors to invest in Indian companies.

    Reliance Broadcast Network Limited

    Reliance Broadcast Network (RBNL) CEO Tarun Katial said, “Budget 2017 is Neutral for the M&E sector although the consumption centric budget will put more money in the pocket of the common man and hence help the advertising and broadcast industries. Radio broadcast industry has requested specific policy measures like five per cent GST rate, reduction in custom duty for capex, etc and we look forward to the announcements when the GST rates are announced.”

    Mukta Arts 

    Mukta Arts MD Rahul Puri asserted, “The Union Budget this year has focused more on uplifting some of India’s poorest sections of society. While this year again the media and entertainment sector has been overlooked, however some announcements will definitely help our industry in many ways. Setting up the cyber security teams will help fight piracy, similarly, the government’s push towards Internet penetration in rural markets will help increase content consumption and increase the audience base. Further the abolishment of FIPB will make it easier for foreign investors to invest in Indian companies.”

    Worldwide Media 

    Worldwide Media CEO Deepak Lamba added, ‘’The Union Budget 2017 announced today, doesn’t include much on the  M&E sector, however there are some points that will have a positive impact on our industry. The budget reinforced India’s huge shift towards digitization especially with the proposed deployment of high optic cables to increase internet penetration in rural India. This is a big positive for content creators like us, as it will boost the digital content consumption across online and mobile platforms. Further impetus on digital payments and transactions will eventually help the subscription model. Also, the government’s move to abolish FIPB to make the inflow of FDI smoother and to consider liberalization of the FDI policy will have a positive impact for players across sectors in the long run.”

    KSS Limited (K Sera Sera)

    KSS Limited group CEO and KSS Digital Cinema CEO Rahul Kanani added, “The Union Budget 2017 introduces the abolition of the Foreign Investment Promotion Board which is a positive step leading to inducing more foreign studios investment in India. More investments coupled with technological upgradation will certainly be a boon for the Indian film industry. Further, with the digital transactions getting a boost the industry especially single screen businesses which have suffered hugely because of the recent demonetization will help get a push.”

    Pixel Pictures 

    Pixel Pictures CEO Prashanti Mallisetti said, “The budget on the onset looks quite positive and is in-line with the recent reforms. Though there are no major takeaways for any industry in particular that can affect a trajectory movement – the curb on cash transactions of 3 Lakhs is the one that is going to be a predominant factor in the demonetization short term scenario. More clarity in GST would have been great, but I guess we have to wait for that a little longer.”

    Dome Entertainment

    Dome Entertainment’s Mazhar Nadiadwala added, “GST would be implemented on the entertainment and events industry, and this would unify the indirect tax administration in India and help the country in two ways. Firstly, it will simplify and make it easy for the consumers to understand. Secondly, it will ease doing business in India. Also, application of GST will result into growth of the country and there will be transparency in the transactions. Under GST, service tax or state tax will be available as a credit which will reduce overall costs and eliminate dual levies of service tax and VAT on transactions. However, every coin has two sides, at one end where we have advantages of GST, on the other end certain businesses will face initial challenges, especially the ones who use traditional methods for transactions.”

    ActorsApply.com 

    An ActorsApply.com spokesperson said, “Government’s proposed reduction in the income tax for smaller organisations will add to the agenda of Startup India thereby expanding the scope for aspiring start ups. Also, the plan to provide a seven-year tax relief will help startups to overcome the losses incurred post demonetisation. The increase in time frame from 5 to 7 years for profit linked deductions was a much needed move specially for emerging start ups. The budget also levelled India’s huge shift towards digitization supporting it with the announcement of use of optic fibre cables for high-speed broadband connectivity in rural areas. This will mean increased Internet penetration through mobile and online mediums thereby boosting the start up sector overall.”

  • Top M&E industry honchos see no major benefit from Budget ’17

    Top M&E industry honchos see no major benefit from Budget ’17

    MUMBAI: With the Union Budget’s focus on rural and infrastructure sectors, the media and entertainment (M&E) industry seems to be disappointed as the budget does not offer much. Though the sector is hoping to get some benefit through the digital push mentioned in the budget, expectations were high as the budget overlooked the sector even in the previous two budgets.

    No clarity on foreign direct investment (FDI) policy, goods and services tax (GST), no further reduction in the service tax, no direct benefit for the digital ecosystem, MSOs, telecom, and many such misses has upset the M&E industry at large.

    Impetus on digital payments and transactions will eventually help the OTTs/VoDs platforms subscription model. The government’s move to abolish Foreign Investment Promotion Board (FIPB) is believed to make it largely easier for foreign investors to invest in Indian companies.

    Reliance Broadcast Network Limited

    Reliance Broadcast Network (RBNL) CEO Tarun Katial said, “Budget 2017 is Neutral for the M&E sector although the consumption centric budget will put more money in the pocket of the common man and hence help the advertising and broadcast industries. Radio broadcast industry has requested specific policy measures like five per cent GST rate, reduction in custom duty for capex, etc and we look forward to the announcements when the GST rates are announced.”

    Mukta Arts 

    Mukta Arts MD Rahul Puri asserted, “The Union Budget this year has focused more on uplifting some of India’s poorest sections of society. While this year again the media and entertainment sector has been overlooked, however some announcements will definitely help our industry in many ways. Setting up the cyber security teams will help fight piracy, similarly, the government’s push towards Internet penetration in rural markets will help increase content consumption and increase the audience base. Further the abolishment of FIPB will make it easier for foreign investors to invest in Indian companies.”

    Worldwide Media 

    Worldwide Media CEO Deepak Lamba added, ‘’The Union Budget 2017 announced today, doesn’t include much on the  M&E sector, however there are some points that will have a positive impact on our industry. The budget reinforced India’s huge shift towards digitization especially with the proposed deployment of high optic cables to increase internet penetration in rural India. This is a big positive for content creators like us, as it will boost the digital content consumption across online and mobile platforms. Further impetus on digital payments and transactions will eventually help the subscription model. Also, the government’s move to abolish FIPB to make the inflow of FDI smoother and to consider liberalization of the FDI policy will have a positive impact for players across sectors in the long run.”

    KSS Limited (K Sera Sera)

    KSS Limited group CEO and KSS Digital Cinema CEO Rahul Kanani added, “The Union Budget 2017 introduces the abolition of the Foreign Investment Promotion Board which is a positive step leading to inducing more foreign studios investment in India. More investments coupled with technological upgradation will certainly be a boon for the Indian film industry. Further, with the digital transactions getting a boost the industry especially single screen businesses which have suffered hugely because of the recent demonetization will help get a push.”

    Pixel Pictures 

    Pixel Pictures CEO Prashanti Mallisetti said, “The budget on the onset looks quite positive and is in-line with the recent reforms. Though there are no major takeaways for any industry in particular that can affect a trajectory movement – the curb on cash transactions of 3 Lakhs is the one that is going to be a predominant factor in the demonetization short term scenario. More clarity in GST would have been great, but I guess we have to wait for that a little longer.”

    Dome Entertainment

    Dome Entertainment’s Mazhar Nadiadwala added, “GST would be implemented on the entertainment and events industry, and this would unify the indirect tax administration in India and help the country in two ways. Firstly, it will simplify and make it easy for the consumers to understand. Secondly, it will ease doing business in India. Also, application of GST will result into growth of the country and there will be transparency in the transactions. Under GST, service tax or state tax will be available as a credit which will reduce overall costs and eliminate dual levies of service tax and VAT on transactions. However, every coin has two sides, at one end where we have advantages of GST, on the other end certain businesses will face initial challenges, especially the ones who use traditional methods for transactions.”

    ActorsApply.com 

    An ActorsApply.com spokesperson said, “Government’s proposed reduction in the income tax for smaller organisations will add to the agenda of Startup India thereby expanding the scope for aspiring start ups. Also, the plan to provide a seven-year tax relief will help startups to overcome the losses incurred post demonetisation. The increase in time frame from 5 to 7 years for profit linked deductions was a much needed move specially for emerging start ups. The budget also levelled India’s huge shift towards digitization supporting it with the announcement of use of optic fibre cables for high-speed broadband connectivity in rural areas. This will mean increased Internet penetration through mobile and online mediums thereby boosting the start up sector overall.”

  • Budget 2017: From highway to e-way media sector searches for sops

    Budget 2017: From highway to e-way media sector searches for sops

    MUMBAI: The Indian government today unveiled a roadmap for financial year 2017-18 that covers areas from “highways to e-ways” (PM Modi’s words while describing the Union Budget 2017) aimed at “strengthening the hands of the poor”, while looking at further easing doing business by abolishing Foreign Investment Promotion Board and hinting at a new FDI policy. However, for India’s media and entertainment sector, especially the broadcast and cable sector looking to reach the $ 100 million turnover mark, there wasn’t much to cheer about — unless an angel is hiding in the fine prints that are still being deciphered.

    Finance minister Arun Jaitley, while announcing the Budget, has brought in macro-level major financial reforms by slashing tax rates for middle level income groups and opening the FDI floodgates in favour of a rural economy.

    Jaitley’s budget focused on boosting infrastructure and lifting up rural incomes besides bringing in reforms in the financial sector such as the abolition of the FIPB to enable a new policy for FDI. The Indian Railways Catering and Tourism Corporation (IRCTC), one of the world’s biggest e-commerce companies, will be now be listed, Jaitley said, aside from sending out an indirect warning to economic offenders such as Lalit Modi and Vijay Mallya that for for absconders new legislation would be drafted soon.

    But a big thumbs up to the government for allocating Rs. 10,000 crore (Rs 100,000 million) to boost rural fibre optics network to give further leg up to all round digitisation.

    While the fine prints are still being read, some highlights are as follows:

    # The FIPB will be abolished. Further liberalisation in the FDI policy would be done in the next few days. (Star Den, etc to benefit)

    # SANKALP – Rs 4000 crore allotted for market-oriented training. (At least 4 million youth will be provided market-relevant training under Sankalp programme)

    # Cashback scheme – Petrol pumps card payments, launch two more schemes for use of BHIM app

    # In yet another boost for digitisation, the government has removed service tax on e-tickets .

    #IRCTC to be listed.

    # The government proposes to create a payment regulatory board at RBI. (The proposal assumes significance as there is currently no regulator for FinTech companies such as Paytm in India.)

    # Small and Medium enterprises (MSME) to be encouraged. Income tax reduced to 25% from 30% if turnover is up to Rs 50 crore or Rs 500 million.

    # Startups to pay tax on profits for three out of seven years, increased from three out of five years.

    # Under Bharat Net, optic fibre cable has been laid out In 1,55,000 km. (Recent spectrum auctions have removed spectrum scarcity.) Bharat Net allocation at Rs 10,000 crore.

  • Budget 2017: From highway to e-way media sector searches for sops

    Budget 2017: From highway to e-way media sector searches for sops

    MUMBAI: The Indian government today unveiled a roadmap for financial year 2017-18 that covers areas from “highways to e-ways” (PM Modi’s words while describing the Union Budget 2017) aimed at “strengthening the hands of the poor”, while looking at further easing doing business by abolishing Foreign Investment Promotion Board and hinting at a new FDI policy. However, for India’s media and entertainment sector, especially the broadcast and cable sector looking to reach the $ 100 million turnover mark, there wasn’t much to cheer about — unless an angel is hiding in the fine prints that are still being deciphered.

    Finance minister Arun Jaitley, while announcing the Budget, has brought in macro-level major financial reforms by slashing tax rates for middle level income groups and opening the FDI floodgates in favour of a rural economy.

    Jaitley’s budget focused on boosting infrastructure and lifting up rural incomes besides bringing in reforms in the financial sector such as the abolition of the FIPB to enable a new policy for FDI. The Indian Railways Catering and Tourism Corporation (IRCTC), one of the world’s biggest e-commerce companies, will be now be listed, Jaitley said, aside from sending out an indirect warning to economic offenders such as Lalit Modi and Vijay Mallya that for for absconders new legislation would be drafted soon.

    But a big thumbs up to the government for allocating Rs. 10,000 crore (Rs 100,000 million) to boost rural fibre optics network to give further leg up to all round digitisation.

    While the fine prints are still being read, some highlights are as follows:

    # The FIPB will be abolished. Further liberalisation in the FDI policy would be done in the next few days. (Star Den, etc to benefit)

    # SANKALP – Rs 4000 crore allotted for market-oriented training. (At least 4 million youth will be provided market-relevant training under Sankalp programme)

    # Cashback scheme – Petrol pumps card payments, launch two more schemes for use of BHIM app

    # In yet another boost for digitisation, the government has removed service tax on e-tickets .

    #IRCTC to be listed.

    # The government proposes to create a payment regulatory board at RBI. (The proposal assumes significance as there is currently no regulator for FinTech companies such as Paytm in India.)

    # Small and Medium enterprises (MSME) to be encouraged. Income tax reduced to 25% from 30% if turnover is up to Rs 50 crore or Rs 500 million.

    # Startups to pay tax on profits for three out of seven years, increased from three out of five years.

    # Under Bharat Net, optic fibre cable has been laid out In 1,55,000 km. (Recent spectrum auctions have removed spectrum scarcity.) Bharat Net allocation at Rs 10,000 crore.

  • Idea, Star Den among Rs-1200 cr FDI proposals approved; latter to switch to investing biz

    Idea, Star Den among Rs-1200 cr FDI proposals approved; latter to switch to investing biz

    NEW DELHI: Star Den Media Services and Idea Cellular are among the six proposals cleared by the government on Thursday for receiving foreign direct investment (FDI) of around Rs 1,200 crore.

    Other companies that have been cleared are — Sanofi Synthelabo India, Recipharm Participation B.V. Netherlands, Boehringer Ingelheim India Pvt. Ltd, A. Menarini India Private Limited. Six proposals have been deferred for further discussions — Gland Pharma Limited, Flag Telecom Singapore Pte Limited, Crest Premedia Solutions Pvt. Ltd, Scientific Publishing Services Pvt Ltd, You Broadband India Limited and Netmagic Solutions Pvt. Ltd.

    There were a total of 17 proposals recommended by FIPB  in its meeting held on 29 December 2016 headed by economic affairs secretary Shaktikanta Das.

    Idea Cellular Infrastructure Services Ltd’s proposal to take on record the increase of foreign investment in ICISL beyond 50 per cent and allow foreign investment in ICISL up to 67.5 per cent received approval.

    Star Den Media Services’ proposal to discontinue its existing business of providing support services to broadcasters in relation to TV channel distribution business, and thus continue to act only as investing company was also okayed.

    The Finance Ministry on the recommendation of the Foreign Investments Promotion Board has thus given permission to Den only to continue as investing company. Thus, no new foreign investment is involved.

    The committee deferred decision on a proposal by Flag Telecom Singapore Pte Limited Singapore, an indirect wholly owned subsidiary of Reliance Communications (RCOM), India seeking approval to acquire 100 per cent shares of M/s Reliance Global Cloud Xchange Limited which was incorporated in June 2016 by Indian residents.

    A proposal by M/s Crest Premedia Solutions Pvt. Ltd seeking approval for issuance of equity shares to the non-resident shareholders of M/s Springer SBM Holding Ltd., a Mauritius Company under a Scheme of Amalgamation was also deferred. SBM Holding will amalgamate into CPSPL, which is part of the Springer Group of companies.  

    M/s You Broadband India Limited had sought post facto approval for acquisition of 9,79,875 equity shares of its downstream company M/s Digital Outsourcing Private Limited (DOPL) in lieu of issue of 20,58,759 equity shares to its resident shareholders by way of swap of shares but this was deferred today.

    A proposal by Netmagic Solutions Pvt. Ltd for the increase in the shareholding of NTT Communications Corporation, Japan in the company from 81.63 per cent to 100 per cent was deferred, as was a proposal by M/s Scientific Publishing Services Pvt Ltd for issuance of equity shares to the non-resident shareholders of M/s Springer SBM Services Limited, a Mauritius Company under a Scheme of Amalgamation of SBM Services with SPSPL, pursuant to approval of the High Court.

    Also Read :

    Nod to Idea, Star Den & four may fetch Rs 1200 cr FDI; You & Crest proposals deferred

    Star Den, Flag Telecom, You & Idea FDI meet on 28 Dec

     

  • Idea, Star Den among Rs-1200 cr FDI proposals approved; latter to switch to investing biz

    Idea, Star Den among Rs-1200 cr FDI proposals approved; latter to switch to investing biz

    NEW DELHI: Star Den Media Services and Idea Cellular are among the six proposals cleared by the government on Thursday for receiving foreign direct investment (FDI) of around Rs 1,200 crore.

    Other companies that have been cleared are — Sanofi Synthelabo India, Recipharm Participation B.V. Netherlands, Boehringer Ingelheim India Pvt. Ltd, A. Menarini India Private Limited. Six proposals have been deferred for further discussions — Gland Pharma Limited, Flag Telecom Singapore Pte Limited, Crest Premedia Solutions Pvt. Ltd, Scientific Publishing Services Pvt Ltd, You Broadband India Limited and Netmagic Solutions Pvt. Ltd.

    There were a total of 17 proposals recommended by FIPB  in its meeting held on 29 December 2016 headed by economic affairs secretary Shaktikanta Das.

    Idea Cellular Infrastructure Services Ltd’s proposal to take on record the increase of foreign investment in ICISL beyond 50 per cent and allow foreign investment in ICISL up to 67.5 per cent received approval.

    Star Den Media Services’ proposal to discontinue its existing business of providing support services to broadcasters in relation to TV channel distribution business, and thus continue to act only as investing company was also okayed.

    The Finance Ministry on the recommendation of the Foreign Investments Promotion Board has thus given permission to Den only to continue as investing company. Thus, no new foreign investment is involved.

    The committee deferred decision on a proposal by Flag Telecom Singapore Pte Limited Singapore, an indirect wholly owned subsidiary of Reliance Communications (RCOM), India seeking approval to acquire 100 per cent shares of M/s Reliance Global Cloud Xchange Limited which was incorporated in June 2016 by Indian residents.

    A proposal by M/s Crest Premedia Solutions Pvt. Ltd seeking approval for issuance of equity shares to the non-resident shareholders of M/s Springer SBM Holding Ltd., a Mauritius Company under a Scheme of Amalgamation was also deferred. SBM Holding will amalgamate into CPSPL, which is part of the Springer Group of companies.  

    M/s You Broadband India Limited had sought post facto approval for acquisition of 9,79,875 equity shares of its downstream company M/s Digital Outsourcing Private Limited (DOPL) in lieu of issue of 20,58,759 equity shares to its resident shareholders by way of swap of shares but this was deferred today.

    A proposal by Netmagic Solutions Pvt. Ltd for the increase in the shareholding of NTT Communications Corporation, Japan in the company from 81.63 per cent to 100 per cent was deferred, as was a proposal by M/s Scientific Publishing Services Pvt Ltd for issuance of equity shares to the non-resident shareholders of M/s Springer SBM Services Limited, a Mauritius Company under a Scheme of Amalgamation of SBM Services with SPSPL, pursuant to approval of the High Court.

    Also Read :

    Nod to Idea, Star Den & four may fetch Rs 1200 cr FDI; You & Crest proposals deferred

    Star Den, Flag Telecom, You & Idea FDI meet on 28 Dec