Adani Group opens offer to buy additional 26% NDTV stake
What's the story
The Adani Group officially confirmed on Friday that its open offer to buy an additional 26% public shareholding in the NDTV, one of the leading news networks in the country, would open for subscription between November 22 and December 5. Previously, the earlier timeline for the open offer by the the Group was from October 17 to November 1.
Twitter Post
Tweet: Photographs of Adani Group's open offer to NDTV
Adani Group open offer for NDTV to commence on November 22.#JustIn#NDTV pic.twitter.com/dL14xsLNep
— Siddharth Zarabi (@szarabi) November 11, 2022
Details
Adani's Vishvapradhan Commercial Pvt Ltd (VCPL) acquisition
The Gautam Adani-owned companies had acquired a company that goes by the name of Vishvapradhan Commercial Pvt Ltd (VCPL), which lent more than Rs. 400 crore to the founders of NDTV. VPCL had given that amount of money nearly ten years ago in exchange for warrants, which permitted it to obtain a stake in NDTV of 29.18% at any time.
Stock prices
VCPL's offer to buy additional 26% in NDTV
As per the laws of the Securities and Exchanges Board of India(SEBI), an entity that acquires over 25% stake in a company can announce an open offer to its stakeholders, inviting them to put their shares up for sale. The VCPL, with Adani Enterprises Ltd and AMG Media Networks, proposed to buy an additional 26%, 1.67 crore equity shares, for Rs. 294 per share.
Quote
Milestone acquisition: AMNL CEO on NDTV
Back in August, AMG Media Networks Ltd. CEO Sanjay Pugalia had defined the acquisition of NDTV as a "milestone" for the company. Sanjay also added that it's the perfect digital platform to put forward its own vision. "NDTV is the most suitable broadcast and digital platform to deliver on our vision. We look forward to strengthening NDTV's leadership in news delivery," he said.
CBI
Money laundering case against NDTV
In June 2017, the Central Bureau of Investigation (CBI) registered a case against Prannoy Roy and his wife Radhika for ICICI bank fraud and for reportedly shifting over Rs. 40 crore to South Africa. In August 2019, CBI filed another case for floating over 35 shell firms in numerous tax havens to divert over Rs. 1,000 crore. However, no charge sheet has been filed.