FIPB okays Reliance Broadcast proposal; stock up

MUMBAI: The government has approved a proposal of Reliance Broadcast Network (RBNL) to bring in foreign investment of Rs 45.47 crore. RBNL , owned by billionaire Anil Ambani, is engaged in FM radio broadcasting and had earlier applied to the Foreign Investment Promotion Board , or FIPB, for permission to bring in foreign investment through by way of portfolio investment or a private placement of equity.

At 11:45 am, shares of the company were trading up by 1.38% at Rs 70.00 on the Bombay Stock Exchange.

In its application, Reliance had sought the "induction of foreign investment by foreign institutional investors (FII), non resident Indians (NRI) by way of fresh allotment of shares by private placement or otherwise and/or investments through stock exchanges by way of portfolio investments, up to the limit of 20% of the total aid up capital of the company."

FIPB approves foreign direct investments proposals that are not permitted under the automatic route. Ministries such as defense, home, finance as well as the Department of Industrial Policy and Promotion participate in the process.