Govt notifies decision on allowing FDI by foreign airlines
Quotes

Govt notifies decision on allowing FDI by foreign airlines

Last Updated: Thursday, September 20, 2012, 21:45
 
 Comment 0
 
Govt notifies decision on allowing FDI by foreign airlines
New Delhi: Moving ahead with the reforms, Government on Thursday notified the Cabinet's decision to allow foreign airlines to pick up upto 49 percent stake in private Indian carriers.

"The Government of India has reviewed the position in this regard and decided to permit foreign airlines also to invest in capital of Indian companies operating scheduled and non-scheduled air transport services up to the limit of 49 percent of their paid up capital," the notification said.

This would now pave the way for much-needed equity infusion into Indian carriers which are in dire need of funds for operations.

The Cabinet Committee on Economic Affairs, last week, had allowed foreign airlines to invest in scheduled and non-scheduled air transport services. The move is aimed at boosting the cash-strapped aviation sector.

The investments would be made under the government approval route and the parties need to comply with regulations of Securities and Exchange Board of India, like issue of Capital and Discloser Requirement and Substantial Acquisition of Shares and Takeovers Regulations, as well as other applicable rules and regulations, the notification said.

Earlier, no foreign airlines were allowed to invest in Indian carriers directly or indirectly.

PTI



First Published: Thursday, September 20, 2012, 21:45


Comments


comments powered by Disqus
Google I/O 2014
Google I/O 2014
Maker Faire @ White House
Maker Faire @ White House
Amazon unveils 3D `Fire` smartphone
Amazon unveils 3D `Fire` smartphone
RIL`s 40th AGM
RIL`s 40th AGM
Samsung Galaxy Tab S
Samsung Galaxy Tab S

Web Wrap
Contact Us : Privacy Policy : Legal Disclaimer
Copyright © Zee Media Corporation Ltd. All rights reserved