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Vodafone receives conditional approval for FDI proposal

Friday, 06 Dec 2013
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Vodafone Plc has received conditional approval from the Department of Telecom (DoT) for its FDI proposal.

The company will increase its holdings in the Indian mobile unit from 64.38 per cent to 100 per cent by acquiring the 24.65 per cent stake held by Scorpio Beverages, and another 10.97 per cent held by Piramal Enterprises. While Piramal will get Rs 8,900 crore, the stake held by Scorpio Beverages has been valued at Rs 1,241 crore.

However, DoT has asked the Ministry of Finance to look into the difference in valuation being attributed to the two Indian partners from whom Vodafone is acquiring the stake.

Further, the Foreign Investment Promotion Board (FIPB) will soon discuss the proposal.

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