Foreign investment proposals worth Rupees 524 cr approved

New Delhi, Dec 30 : The government approved nine foreign direct investment (FDI) proposals worth Rupees 523.7 crore Wednesday, including a Rupees 326-crore proposal from Japanese conglomerate Mitsui.

The government approved the proposals based on the recommendations of the Foreign Investment Promotion Board (FIPB) Dec 18.

The Mitsui proposal envisages setting up a wholly-owned subsidiary as well as a joint venture company, a finance ministry statement said.

However, "the proposal attracts Press Note 1 of 2005," the statement added, referring to guidelines pertaining to approval of foreign and technical collaborations under the automatic route with previous ventures and tie-ups in the country.

Goldman Agent has been allowed to invest Rs.93 crore in an investing company, while Internet Global Services has been given the go-ahead to invest Rs.100 crore in non-convertible redeemable preference shares from internally accrued funds.

Seven proposals including one by telecom service provider Telstra Telecommunications to issue fresh equity shares to raise FDI cap from 49 percent to 74 percent have been deferred, while five proposals have been rejected.