The government, on the recommendation of Foreign Investment Promotion Board (FIPB), has approved the foreign direct investment (FDI) proposals of Tesco and Vodafone.

Tesco Plc, a British retail giant, has proposed to invest $110 million (approx Rs 682 crore) to acquire 50 per cent stake in Tata Group's Trent Hypermarket (THL). With approval from the government, the company can open stores in India that will sell anything from fruit to furniture. The company is also looking forward to investing more for the expansion in the next two to three years. Of the proposed Rs 682 crore investment, around Rs 550 crore will be utilised to acquire new equity shares and the remaining Rs 124 crore will be invested towards acquiring existing equity.

Vodafone Inc has received sanction from FIPB to raise stake in Indian entity to 100 per cent. The company proposed to invest Rs 10,141 crore for the same.

However, the approval to Vodafone Inc is subject to a final clearance from the Cabinet Committee on Economic Affairs (CCEA) as the company intends to invest more than Rs 1,200 crore.

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