NDTV promoters transfer 99.5% of their stake to Adani media arm

29 Nov 2022 , 11:46 AM

The promoter entity of NDTV has transfered 99.5% of its stake to Vishwapradhan Commercial Private Ltd (VCPL). RRPR is the promoter entity of NDTV. Through RRPR, Pranoy Roy and Radhika Roy hold their stake in NDTV. Pranoy and Radhika are the founders of NDTV.

About a decade ago, RRPR took a Rs 400 crore loan from VCPL. The loan clause stated that in case RRPR defaults on payment of the loan, VCPL will have the right to acquire up to 29.18% stake in NDTV. This 29.18% stake is equal to 99.5% stake of the promoter entity in NDTV. RRPR failed in paying back this loan amount. So it has to transfer this stake to VCPL as per the loan agreement.

In August this year, VCPL was acquired by AMG Media Networks Ltd. AMG is the media company of the Adani Group. So Adani Group has now, effectively, 29.18% stake in NDTV. An open offer for acquiring another 26% stake in NDTV, by AMG, is already there in place. This open offer will close on December 5th.