Shares of NDTV climbed 5 per cent in Tuesday’s trade after the markets regulator Sebi approved Adani Group’s open offer to buy an additional 26 per cent stake in media firm.
The offer will commence on November 22. According to an update on Sebi’s website, the regulator gave its final comments on the proposed Rs 492.81 crore-open offer on November 7.
Following the development, NDTV hit its 5 per cent upper circuit limit at Rs 384.10 on BSE. With this, the scrip had rallied 234 per cent year-to-date.
A total of 32,000 shares changed hands on the counter in Tuesday’s trade compared with a two-week average of 9,147 shares.
The exchange has sought clarification from NDTV regarding the same.
The offer will tentatively open on November 22 and close on December 5, PTI reported. The price fixed is Rs 294 per share, as per a recent regulatory filing by NDTV.
Shares of Adani Enterprises were trading at Rs 4,039, up 0.45 per cent.
Last quarter, a wholly-owned subsidiary of the Adani Group, AMG Media Networks, acquired 100 per cent stake in Vishvapradhan Commercial Private (VCPL). VCPL held warrants of RRPR Holding Private Limited (RRPR), a promoter company holding 29.18 per cent stake of NDTV.
On acquisition, VCPL exercised its right to convert warrants into 99.50 per cent stake in RRPR.
“The conversion of warrants is currently pending with RRPR and will result in an indirect acquisition of
stake in NDTV. Hence, this will trigger an open offer by VCPL along with AMNL and AEL, under SEBI Regulations. VCPL has filed draft letter of offer with SEBI and will initiate tendering process after receipt of comments from SEBI to launch an open offer to acquire up to 26 per cent stake in NDTV,” Adani Enterprises had said in its quarterly earnings.
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