Express Pharma

Cabinet clears Rs 4,187-crore Glenmark, Aurobindo proposals

142

The decision was taken by CCEA, chaired by Prime Minister Narendra Modi

Foreign investment proposals worth Rs 4,187 crore of pharmaceutical majors Glenmark and Aurobindo were approved by the Government. The decision was taken by the Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi.

In February, the Foreign Investment Promotion Board had referred the proposals by the two domestic pharma majors to CCEA for clearance as each of them exceeded its clearance limit of Rs 1,200 crore.

According to a PTI report, Mumbai-based Glenmark Pharmaceuticals had sought to raise the cap of foreign institutional investor or FII holding to 49 per cent from the current 35.07 per cent. The move would facilitate the drug firm bringing in Rs 2,022 crore of foreign funds into the country.

In Glenmark Pharmaceuticals, an official statement said “the company has increased the foreign investment limit by FIIs from 35.07 percent to 49 per cent”.

“This will result in an inflow of about Rs 2,022 crore,” it said.

Apart from manufacturing pha