Govt okays FDI proposals worth Rs 741 cr

The government on Friday approved 44 foreign direct investment proposals totalling Rs 741 crore, including that of the Rs 457-crore investment by Bycell Holding AG in cellular telephone services.

Bycell Holding has taken the government's permission to invest Rs 457 crore in setting up a company in India, which will form a joint venture with an Indian partner, offering mobile telephony services with a 74 per cent foreign equity.

The finance ministry has also okayed the UK-based CDC Group PLC's plan to invest Rs 74 crore for picking up a stake in an asset reconstruction company to be floated by Corporation Bank and ING Vysya bank.

Standard Chartered Bank's proposal to float an asset reconstruction company in India was also given the nod.

The proposal of Citigroup Venture Capital of Mauritius to invest Rs 11.49 crore to pick up a stake in textile company Spentex Industries has also been cleared. Rice exporter KRBL has been permitted to raise Rs 66 crore through GDR issue, while Cargill Mauritius has been allowed to invest in its Indian arm.

Adidas AG of Germany and Adidas International BV of the Netherlands have been allowed to transfer shares worth Rs 4.72 crore from residents to non-residents. British Gas has been allowed to hold 50 per cent stake in Mahanagar Gas till December 2006.

Permission was also granted to the US-based Dun & Bradstreet Corporation to foray into non-banking finance segment for an investment of Rs 2.20 crore.