The Foreign Investment Promotion Board (FIPB) did not consider UK-based operator, Vodafone Plc?s proposal to buy out the minority shareholders in its Indian unit, Vodafone India for Rs 101.41 billion.
FIPB could not take up the proposal for consideration due to non-submission of comments on the proposed deal by various government agencies such as the Department of Telecommunications, the Department of Industrial Policy and Promotion, the Ministry of Home Affairs, the Ministry of External Affairs and the Department of Economic Affairs. The FIPB plans to consider the proposal in its next meeting which is yet to be scheduled.
Earlier, Vodafone Plc had approached the Foreign Investment Promotion Board?s (FIPB) seeking its approval to raise its stake in Vodafone India from 64 per cent to 100 per cent. Currently, Vodafone Plc holds a 64.38 per cent stake in Vodafone India. The other stakeholders in Vodafone India include the Piramal Group (11 per cent) stake, Analjit Singh, chairman of Vodafone India (6.2 per cent) and IDFC and other investors (18.8 per cent).
