Adani Group's Rs 493-Crore Open Offer For NDTV To Begin Today
The timeline of the open offer was revised after the initial date of October 17 to November 1 expired for want of an approval from the Securities and Exchange Board of India
Gautam Adani-led Adani Group's open offer to acquire an additional 26 per cent stake in New Delhi Television (NDTV) begins on Tuesday. The offer, for 1.67 crore shares at Rs 294 apiece, will close on December 5. The size of the open offer is nearly Rs 493 crore.
The timeline of the open offer was revised after the initial date of October 17 to November 1 expired for want of an approval from the Securities and Exchange Board of India.
The markets regulator gave its approval to the open offer last week. The open offer comes following plans unveiled by the Adani group in August to pick up a 29.18 per cent stake in the news broadcaster, through the acquisition of Vishvapradhan Commercial (VCPL), which holds a 99.99 per cent stake in NDTV promoter firm RRPR Holding.
On Friday, NDTV's independent directors asked shareholders to carefully evaluate the open offer, since the share price was significantly higher than the open offer price.
"The decision to acquire NDTV was arrived at in furtherance of Adani Group's objective to set up a credible next-generation media platform with an emphasis on digital and broadcast segments, and that NDTV is a suitable broadcast and digital platform to deliver on this vision," Adani Enterprises had said in a regulatory filing in October.
Prannoy Roy and Radhika Roy, promoters of NDTV, directly hold 15.94 per cent and 16.32 per cent stakes respectively in the company. While foreign portfolio investors hold 14.72 per cent stake in the company, and individuals and other entities hold a total of 23.84 per cent stake in the firm.
On Monday, shares of NDTV closed trade at Rs 382.20 apiece on the BSE. This is at a 30 per cent premium to the open offer price.
Shares of NDTV were trading at Rs 376, down 1.62 per cent on the BSE on Tuesday.
Top Headlines
