Adani Enterprises to acquire 29.18% of NDTV through exercise of warrants by a subsidiary

24 Aug 2022 , 08:48 AM

The media division of the Adani group announced on Tuesday that it has used its right to convert loans into equity stakes in the NDTV promoter group firm in order to exercise its right to acquire indirect ownership of 29.18% in New Delhi Television (NDTV).

Even though the broadcaster claimed its founder-promoters had not agreed to the exercise of rights and that no conversation or input had been made on the topic, the decision has also sparked an open bid for buying a 26% stake in NDTV from its shareholders.

The NDTV founders and the firm would like to make it clear that this exercise of rights by Vishvapradhan Commercial (VCPL) was carried out without the input, conversation, or approval of the NDTV founders, who, like NDTV, were made aware of this exercise of rights only today. The shareholding of its founders has not changed, NDTV told the stock exchanges as recently as yesterday, according to a statement released by the network on Tuesday.

According to the paperwork made available to stock markets on Tuesday evening, the open offer for 26 % of NDTV has a value of Rs493 crore. The open offer price has been set at Rs294 per share, a 19.7% drop from the company’s closing price on Tuesday of Rs366.2. Prannoy Roy and Radhika Roy, owners of NDTV, directly owned 15.94% and 16.32% of the firm as of June 30. At the time of the acquisition, RRPR Holding controlled 29.18%.