Finance Ministry gave its nod to mining company Coal India Ltd (CIL) for acquiring stake in overseas unlisted firms.
The Finance Ministry however did not grant complete relaxation to the norm of minimum 12 per cent internal rate of return (IRR) from such acquisitions. The Finance Ministry declared that it was prepared to go ahead with the proposals even if the return is below 12 per cent if they are for strategic reasons.
CIL, the world's largest coal miner, failed to strike any deal due to procedural delays in approval by the government. It had sought relaxation in two parameters of overseas acquisition norms, which were allowing them to acquire stake in unlisted firms, including those offering below 12 per cent IRR.
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