New Delhi: Telecom operator Idea Cellular has approached the government for raising the foreign direct investment (FDI) level in the company to 100 per cent.
"Application made to the DIPP (Department of Industrial Policy and Promotion) for 100 per cent FDI in Idea," the company said in an investor presentation filed late on Friday evening.
At present, 100 per cent FDI is allowed in telecom companies, of which up to 49 per cent can be done through the automatic route.
The inflow of overseas investment beyond that level requires government approval because of security reasons.
Idea Cellular is in the process of merging its telecom business with the Indian unit of British telecom major Vodafone.
According to the latest data published by sector regulator Trai, Idea and Vodafone jointly have over 40 crore mobile subscribers and together account for the largest share in the Indian telecom segment. In the presentation, Idea showed that post amalgamation with Vodafone, the resultant entity will be second highest spectrum holder with 1,850 Mhz of radiowaves and highest revenue share at 37.5 per cent.
Foreign investors hold around a 27 per cent stake in Idea, according to the shareholding pattern of the company till December 2017.