Based on the recommendations of Foreign Investment Promotion Board (FIPB) in its meeting held on July 29, 2008, finance minister P Chidambaram has approved 24 proposals of foreign direct investment (FDI) amounting to Rs 753.114 crore approximately.
According to the official release issued by Press Information Bureau (PIB), Netherlands-based fashion house Ferragamo International’s proposal to acquire the 51 per cent equity of the Indian company for retail trading of products under a single brand has been cleared. The company is expected to generate foreign inflows worth Rs 30 crore.
FIPB has also approved the proposal of Milan-based Piquadro SpA to set up a joint venture directly or through its subsidiary, with 51 per cent equity participation to carry out single-brand retail. Piquadro manufactures briefcases, small leather goods, ladies bags, tour bags, belts, cigar cases, backpacks, umbrellas, and accessories. The group operates in Italy, Hong Kong, Russia, Austria, Bulgaria and Germany. The estimated foreign inflow from the company stands at around Rs 1.53 crore.
VLCC Health Care, the Delhi-based health and wellness player, has also been allowed conversion of share warrants into equity shares and redemption of preference shares.
Pepsico India Holdings has been asked to increase the approved equity from US$ 405 million to US$ 455 million.
The other proposals that were cleared include companies from sectors including chemical and petrochemicals, commerce, heavy industry, industrial policy and promotion, information and broadcasting, information technology, and telecommunication.