The FDI proposal is tipped to be the largest private equity deal in the Indian healthcare sector
Union Finance Minister P. Chidamabram and Commerce and Industry Minister Anand Sharma “informally” brought up for discussion the KKR Foreign Direct Investment (FDI) proposal at the meeting of the Cabinet Committee on Economic Affairs (CCEA) on Thursday.
The ministers succeeded in persuading Prime Minister Manmohan Singh to allow the proposal to be taken up in the agenda of the next CCEA. The FDI proposal is tipped to be the largest private equity deal in the Indian healthcare sector.
The Foreign Investment Promotion Board had earlier recommended that the CCEA consider and approve the deal. FDI proposals in excess of Rs 1,200 crore require CCEA approval.
“PM was cautious initially; however, the deal will go through in the next CCEA meeting,” said a source who had participated in the CCEA meeting.
When contacted, Mr. Chidambaram refused to answer The Hindu’s queries.