The central government may approve many startups and technology deals involving Chinese investors. According to sources, the government is considering giving permission in those cases in which Chinese investors are being given less than 10 percent stake in a domestic company. A government official with knowledge of the entire matter said, 'Most of such applications are currently under consideration and some questions and clarifications have been raised before the representatives of the companies. The government may permit in the next few weeks after getting security clearance from the Ministry of Home Affairs.
If the government takes this step, many startup companies struggling with cash shortage can get relief. Their investment applications are under consideration after a change in guidelines relating to Foreign Direct Investment (FDI) in respect of Chinese companies intending to invest in India. Since April, about 100 applications from Chinese investors have been under consideration in various departments. "Most of these applications are from those areas which are not considered sensitive for internal security," the official said. Not only startups, but Chinese companies have also shown interest in investment in automobile sectors. The applications of two well-known vehicle manufacturers are also on this list. These two companies submitted applications to the government in August, which are currently under consideration.
The official said that the government does not want to stop any investment in the country, but the interests of Indian promoters and the quality of investment are reviewed to check. The official said that the cases in which no more than 10 percent stake in Indian companies will be bought are being considered because Chinese companies will not be able to take control of Indian companies in them. Atul Pandey, partner at Khaitan & Co, said, "The purpose of bringing Press Note 3 is to prevent Chinese companies from taking control of various Indian companies in the event of Covid-19 slipping. Since the Chinese companies will not be able to take control of Indian units by holding less than 10 percent stake, the government can approve investment requests in such cases.
Sources said that the department concerned is evaluating each company and the previous investments made by them.
For example, Zomato is one of the startup companies that is having difficulty in investing $ 100 million in the second phase from Alibaba's financial arm Ant Financial. Ant Financial bought a 14.7 percent stake in Zomato in 2018. In November of the same year, it increased its stake to 23 percent. Such cases are somewhat complicated. For example, Ant has a large stake in Zomato. So according to the current definitions of Beneficial Ownership, they already have control over Zomato. On this, an expert said that in such a situation, there will be no significant difference from getting a new investment from Ant. The government has made it clear that the new FDI guidelines will apply only to new investment proposals and old investments will not be in its favor.
Delhi Water Crisis: Delhi government's decision, ADM and SDM will monitor water pipelines
A water crisis has arisen in the capital Delhi. Aam Aadmi Party and BJP are accusing each other of this.
Rahul Nakli Gandhi: Union Minister Joshi said - Rahul is not a descendant of Mahatma Gandhi, 'fake Gandhi'
BJP leader and Union Minister Prahlad Joshi called Rahul Gandhi a fake Gandhi amid the Congress's protest against inflation today. Joshi said, "He (Rahul Gandhi) is not the descendant of Mahatma
Global Recession: The effect of recession will be seen on the global economy in the year 2023, claims the British Research Agency
Due to the increase in interest rates to control inflation, the world may see the effect of the recession in the year 2023, because high-interest rates can cause many economies to shrink. This has
Good news: Padikkal returned to the RCB team after defeating Corona, now will make a comeback in IPL
Royal Challengers Bangalore says that opener Devadutt has joined the RCB team's bio bubble. He was a victim of a Corona infection recently. His return will strengthen the team's batting. The first
PM Modi will create history by leaving behind the world's top leaders, after Putin, all eyes are on his meeting with Zelensky
PM Narendra Modi's special plane reached Warsaw, the capital of Poland, around 6 pm Indian time. This is the first visit of an Indian Prime Minister to Poland after 45 years. PM Modi has gone to
Russia-Ukraine War Updates: Russia bombed many cities of Ukraine, five were killed, 13 were injured in shelling in Kharkiv city
There has been a case of the bombing of Ukrainian cities by Russia. Officials say Russian shelling and airstrikes have targeted multiple targets across Ukraine. Five people were killed and 13 injured
A secret meeting between Prashant Kishor and Nitish Kumar is this the reason behind Surprise Dinner, know what the CM said
Nitish and Prashant Kishor Meeting: There has been a secret meeting between Bihar Chief Minister Nitish Kumar and political strategist Prashant Kishor. This meeting has taken place at a time when
GT vs DC: Battle for top spot between Delhi and Gujarat, eyes on Siraj and Starc.
The 35th match of IPL 2025 will be played between Gujarat Titans and Delhi Capitals on Saturday (April 19). In this match, there will be a battle between the two teams for the top position. At
Waqf Bill: Preparations are underway to challenge the Waqf Bill in the Supreme Court; Congress will soon knock on the court's door
Preparations have started to challenge the Waqf Amendment Bill in the Supreme Court. After Tamil Nadu Chief Minister MK Stalin, now the Congress on Friday said that it will soon challenge the
AUS vs PAK: Australia will face Pakistan today in the World Cup, the journey ahead will be difficult for the losing team.
The Australian cricket team is known for its alertness and Pakistan for its aggressive approach. In the World Cup, when both the teams will face each other in Bangalore on Friday, both will have to
