ITV

Tag: Bombay Stock Exchange

  • Global Broadcast doubles on debut

    MUMBAI: Global Broadcast News, owners and operators of English news channel CNN-IBN and Hindi news channel IBN-7, opened big and closed even bigger – at more than double its issue price of Rs 250.

    The scrip opened on the Bombay Stock Exchange today at Rs 417.10, touched an intraday high of Rs 524, and closed at Rs 510.10 with over 13 million shares changing hands.

    On the National Stock Exchange the share closed at Rs 505.90, with volumes of over 18 million shares, after opening at Rs 425.

    GBN entered the capital market with an initial public offering (IPO) of equity shares aggregating upto Rs 1.05 billion. The issue was oversubscribed 48.74 times.

    GBN is part of the Television 18 Group, which owns and operates leading business channel CNBC TV18 as well as consumer business CNBC Awaaz.

    The company proposes to utilise the net proceeds of the IPO issue to finance acquisition of land, meet construction cost and repayment of loans.

    The book running lead managers to the issue were ICICI Securities and Kotak Mahindra Capital Company. The co-book running lead managers to the issue were JM Morgan Stanley and IL&FS Investsmart.

  • Zee News, WWIL to list by February 2007; Dish TV likely by March

    Zee News, WWIL to list by February 2007; Dish TV likely by March

    MUMBAI: Zee Telefilms Ltd (ZTL) expects its two demerged entities, Wire & Wireless India Ltd (WWIL) and Zee News Ltd, to be listed by February 2007. This follows the approval of the demerger scheme by the Bombay High Court.

    The listing of Dish TV, Zee’s demerged direct-to-home (DTH) business, is likely to be by March. The scheme relating to the de-merger of DTH has not yet been listed for hearing at the Bombay Stock Exchange or in the Delhi Stock Exchange and will take some time. The listing date will be known only after the court gives the nod.

    “WWIL and Zee News Ltd should list by February 2007. We expect to list Dish TV by March,” says Essel Group CEO, corporate strategy and finance, Rajiv Garg.

    ZTL today announced the approval of its demerger scheme by the Bombay High Court. This paves the way for setting the record date for the demerger of the cable distribution and news and regional broadcasting businesses of Zee into WWIL and ZNL respectively.

    The Record Date is likely to fall in the latter half of December.

    The shareholders of Zee as on the Record Date shall be allotted shares in WWIL and Zee News. The respective companies would then be applying for listing of such shares to the BSE, NSE and CSE, in compliance with SEBI guidelines.

    Zee expects this process to be completed by February 2007.

  • Media stocks big gainers

    Media stocks big gainers

    MUMBAI: Sparked by a buoyant stock market, media stocks stood as big gainers on Monday. While the Bombay Stock Exchange benchmark Sensex scaled a new high to end the day 56.10 points up at 13,186.89, strong activity was seen in media scrips like Balaji Telefilms, TV18 and Zee Telefilms.

    “There is a strong sentiment in favour of media stocks. Major action is happening in this sector and financial performances are improving,” said a market analyst.

    Balaji Telefilms gained 10.4 per cent in today’s trade, moving up from the previous close of Rs 158.55 to end the day at Rs 175. TV18 rose 10.18 per cent to close at Rs 898.55 while UTV went up by 9.26 per cent to Rs 221.75.

    Most of the other media stocks also firmed up with Zee Telefilms seeing a 3.62 per cent rise to close the trading session at Rs 337.65. Among the other gainers were TV Today (5.79 per cent to Rs 75.85), Sun TV (1.81 per cent to Rs 1264), Adlabs (1.88 per cent to Rs 365.55), K Sera Sera (1.43 per cent to Rs 31.95) and Bag Films (3 per cent to Rs 9.27). NDTV saw a marginal rise of 0.38 per cent with the scrip closing at Rs 236.30. Hinduja TMT, however, dipped by 1.48 per cent to Rs 519.15.

    “There is investment interest in media companies from private equity and non media players,” said an analyst in a brokering firm.

    A recent indication of this is the buyout of 51 per cent stake in Asianet by former chairman and BPL Mobile CEO Rajeev Chandrasekhar. Several media companies have also recently raised money through public offerings. Raj Television Network Ltd has just filed documents with the market regulator, Securities and Exchange Board of India (Sebi), for its initial public offering (IPO).

    “The media sector is set for further growth as digitalisation sets in. There is bound to be a rub-off effect in such stocks,” the analyst said.

  • Zee Telefilms board approves demerger proposals

    Zee Telefilms board approves demerger proposals

    MUMBAI:Zee Telefilms Ltd has informed the Bombay Stock Exchange (BSE) that the members at the two Court Convened General Meeting Meetings & one Extra Ordinary General Meeting of the Company held today, have approved the demerger proposals of the company. These include:

    1. Scheme of arrangement between Zee Teleflims Ltd, Zee News Ltd, Siti Cable Network Ltd, Wire and Wireless (India) Ltd and their respective shareholders made under the provisions of Sections 391 to 394 read with sections 78, 100 to 103 and other applicable provisions of the Companies Act, 1956 for the proposed de-merger of news business undertaking of the company in favor of Zee News Ltd and cable business undertakings of the company and Siti Cable Network Ltd, the wholly owned subsidiary of the company, in favor of Wire and Wireless (India) Ltd;

    2. Scheme of arrangement between Zee Telefilms Ltd, Siti Cable Network Ltd, New Era Entertainment Network Ltd, ASC Enterprises Ltd and their respective shareholders made under the provisions of Sections 391 to 394 read with Sections 78, 100 to 103 and other applicable provisions of the Companies Act, 1956, for the proposed de-merger of direct consumer services business undertaking of the company in favor of ASC Enterprises Ltd and Merger of Siti Cable Network Ltd and New Entertainment Network Ltd, wholly owned subsidiaries of the company, with ASC Enterprises Ltd; subject to necessary approvals of Hon’ble High Court of Judicature at Bombay and / or Delhi and such other authority as may be required.

    3. Utilization of balance in securities premium account of the company as on appointed date(s), pursuant to provisions of sections 78, 100 to 103 of the Companies Act, 1956, to the extent required, to adjust deficit arising out of transfer of net assets, cancellation of investment / loans / advances / Inter Corporate Deposit and appreciation or diminution in value of assets, fixed or current and investments of the company, if any.

  • Media scrips soar as Sensex recovers

    Media scrips soar as Sensex recovers

    MUMBAI: Bucking the trend of a sustained dip over the last few days, the Bombay Stock Exchange (BSE) benchmark Sensex gained over 345 points today, recording the biggest single day gain for the month. The bounce back was fuelled by massive buying by foreign and domestic funds even as global markets firmed up.

    The Sensex closed at 10,352.94, after touching an intra-day high of 10,409.58 points. The National Stock Exchange (NSE) index Nifty registered a gain of 90.30 points and closed at 3,023.05.

    Among the media stocks, Sun TV recorded the maximum gain on the back of healthy FY06 results. Inspired by an almost 70 per cent jump in net profits, the Sun TV scrip closed at 1,083.60 in the BSE, higher by Rs 38.10. At the National Stock Exchange (NSE), it ended the day’s trade at 1,085.50 with a gain of Rs 35.30. The rally was significant as the scrip had tumbled yesterday from Rs 1099 to Rs 1045, a fall of Rs 54.

    In the media block, TV18 scored the next best gain for the day, going up by Rs 35.70 to close at Rs 578 on the BSE. At the NSE, it gained Rs 36.7 to reach 577.35 points. TV18 has been maintaining a steady run since a long time. Since the last one month, the scrip has gone up by Rs 92 at the BSE.

    UTV Software Communications, riding on the market expectations of an equity deal with an international major, gained Rs 14.35 at the BSE today, to close at 165.65 points. At the NSE, it gained Rs 13.00 to touch Rs 164.45. Gemini Communications rose Rs 14.7 at the BSE, to reach 396. Navneet Publications gained Rs 10.45 at the BSE and Rs 11.45 at the NSE to close at 278.55 and 279.30 respectively. Hinduja TMT recorded a gain of Rs 9.8 to close at 479.75 at the BSE.

    Other prominent media scrips which also recorded gains for the day included NDTV, Zee Telefilms, Entertainment Network India, Adlabs Films and Balaji Telefilms. However, Saregama India was the only major loser as the scrip dipped by Rs 7.3, to close at 142.45 at the BSE.

  • Adhikari Brothers enters into deal with Sirasa TV

    Adhikari Brothers enters into deal with Sirasa TV

    MUMBAI : Sri Adhikari Brothers Television Network Ltd has entered into an agreement with Sirasa TV, Sri Lanka’s leading Channel, owned by Maharaja Group.

    The company will be providing concepts and technical expertise and produce the programmes jointly with Sirasa TV, according to Bombay Stock Exchange.

    The terrestrial television network — Sirasa’s most popular television programme in its brief history, may probably be the reputed musical reality show named Sirasa Superstar.

  • Zee rejig: 2 companies to merge with ASC Enterprise

    Zee rejig: 2 companies to merge with ASC Enterprise

    NEW DELHI: Two companies related to the consumer service business of the Subhash Chandra-promoted Essel Group’s DTH platform are poised to be merged with ASC Enterprise Ltd, which holds a DTH licence.

    The companies to be merged with ASC Enterprise are Cornersoft Entertainment Co Pvt Ltd and New Era Entertainment Pvt Ltd.

    This is part of the restructuring announced by Zee Telefilms late March to de-merge its various businesses into separate companies to unlock shareholders’ value and conform to varying regulatory needs.

    The direct consumer business is marked by division of activities between the DTH license holder ASC Enterprises Limited and subsidiaries of Siti Cable, the cable arm of Zee Telefilms. This led to lack of clarity in structure, inefficiencies in tax and diffused strategic focus, the Zee management felt.

    The merger proposal, which got the in-principle okay of the Zee board, is likely to be formalised at a board meet of the company on 27 April. ASC Enterprise’s DTH service is marketed under the brand name Dish TV.

    Started in 2004, Cornersoft Entertainment created the 7575 interactive platform for Zee family of channels and other Essel group companies. The interaction happens on the Essel short code 7575, which during the final countdown to Sa Re Ga Ma 2005 Challenge show on Zee TV received almost 5 million SMSs per day. Such massive interaction took it ahead of the popular Times group-owned 8888 platform.

    The 7575 platform has tied up with all the GSM and CDMA phone operators with a powerful national penetration of 98.5 per cent.

    The mission of Cornersoft Entertainment is to integrate, connect and extend high quality and engaging content, applications and services to customers. It’s positioning will help Dish TV market a range of value added services that it plans to offer to its subscribers over a period of time.

    The 7575 service is also a pioneer in integrating TV-SMS, a technology solution that provides live interaction capabilities to play and interact while watching a particular show. Over a period of time, other value added services like ring tones download have also been introduced.

    On the other hand, New Era Entertainment markets the Dish TV services in the country. Launched in October 2003, Dish TV has close to one million subscribers and is presently said to be adding approximately 3000 subscribers every day as awareness about such a service increases in India.

    The Zee Telefilms stock on the Bombay Stock Exchange closed Wednesday at Rs 241.5, down by Rs 2.35, after opening at Rs 243.85. At the National Stock Exchange, the scrip closed at Rs 241.7, down by Rs 2.30 from the last day’s close of Rs 244.

  • HTMT board approves demerger, media biz to be in one entity

    HTMT board approves demerger, media biz to be in one entity

    MUMBAI: Hinduja TMT Ltd. is demerging its IT/BPO business into a new company, while simultaneously merging its media and content subsidiary InNetwork Entertainment Ltd (INEL) into the residual entity. Both the companies will be listed on the Bombay Stock Exchange and National Stock Exchange.

    HTMT’s current shareholders will be allotted shares of both the companies in proportion to the capital employed in the respective businesses. “The appointed date of the demerger would be 1 April,” the company said in a release.

    In simple terms, all the existing assets of HTMT barring the IT/BPO business will be in the residual entity. This includes IndusInd Media and Communications Ltd (IMCL) which operates cable TV under the Incablenet brand, a cable Hindi movie channel, and the broadband business. What this means is that a media holding company will emerge after the merger of INEL and it will also have under its umbrella IMCL.

    Indiantelevision.com had earlier reported that the media business was to be brought under a holding company. The HTMT board, which met today, has granted approval to the demerger.

    The telecom holding in Hutch will also reside in the residual entity. HTMT plans to exit from the telecom business by selling its entire stake. It controls an effective stake of 5.11 per cent in Hutch, a leading GSM service provider, through a subsidiary Indusind Telecom Network Ltd. “The company has received offers for purchase thereof which are under consideration. The board has set up a committee of directors to appraise the offers, negotiate and finalise the deal,” HTMT said in a release.

    The money raised from the sale will, thus, be in the media company. “The board will decide where to make the investments. The name of the residual entity will also be decided later,” IMCL executive director, corporate services, Ashok Mansukhani said. The valuation of INEL will also be carried out, he added.

    Commenting on the demerger, HTMT chairman Ashok P Hinduja said “the related restructuring will unlock immense shareholder value. While the current market cap is about Rs 22.2 billion, the sum of parts valuation is significantly higher, which could get unlocked. It will also go a long way in speeding up inorganic growth opportunities in both the technology and media/telecom companies, apart from aiding the induction of strategic and/or financial partners. Operational efficiencies in both the resultant companies would also increase”.

    HTMT’s technology business employs over 7000 persons (with over 3000 overseas employees) and ranks among the few BPO companies with a global delivery model with presence in five countries and significant revenues generated overseas. It has domain expertise in healthcare and insurance, financial services, manufacturing, telecom, pharmaceuticals, consumer electronics, household products, energy and utilities.

    According to a company statement, the media business is well poised to take advantage of the emerging business opportunities in content and distribution that have recently opened up and is in negotiation with several leading players for collaborations and contracts in these spaces. “It would also continue to be the holding company of IMCL, a leading multi-system operator (MSO) with extensive intra-city fiber networks, with 6000 km of trunk and access HEC networks, 80 per cent of which is 2-way enabled. IMCL has a presence in 14 cities (9 of which are big cities) with over 40 per cent market share in most of these markets,” the release added.

    HTMT believes the demerger will unlock individual values. “The demerger and related restructuring would enable the full potential of all the diverse businesses to be realized and take the companies to the next level,” said Hinduja.

    Added Mansukhani: “The cable business has the potential to be a money-spinner in future.”.

  • Zee rejig to improve bottomline: Chandra

    Zee rejig to improve bottomline: Chandra

    NEW DELHI: Subhash Chandra, chairman of the approximately Rs. 13 billion Zee Telefilms, feels that after the restructuring announced Wednesday, the company’s bottomline would be “healthier”, though top line growth might be cropped as loss making businesses have been hived off into separate companies.

    Talking to CNBC TV18, Chandra also said that the news operations and the regional channels, which were hived off into Zee News Ltd, will be profitable with a turnover of Rs 3 billion.

    The cable TV distribution business of Siti Cable (again hived off into WWIL) will be a no-profit-no-loss venture that generates revenues of Rs 1 billion at the moment.

    “They (Zee News and cable business company WWIL), will be profitable. The quarter results of these entities will come out on 28 April, along with the consolidated results.

    “WWIL may not be profitable, but there will not be any losses. I think the revenue line for WWIL would be about Rs 100 crore (Rs 1 billion) at the moment,” Chandra explained.

    Yesterday, Zee Telefilms, India’s largest vertically integrated media company, announced splitting of its broadcasting business into three entities — news operations and regional language operations (Zee News Ltd), broadcast and content creation, and Siti Cable, which will also include the initiatives on the CAS front (Wire and Wireless India Limited or WWIL).

    The direct consumer related business of ZTL and Dish TV, the country’s first private sector DTH service, have also been separated and subsumed into ASC Enterprise Ltd, which is the DTH licence holder.

    According to Chandra, foreign investors have evinced interest in the cable and DTH business of the group.

    “We are being approached a lot for cable and Dish TV (country’s first private direct-to-home service) businesses. However, not as many for the entertainment or the news content business. But we are open for those also,” he added.

    Pointing out that the Dish TV operation is likely to be listed on the stock exchanges within a few weeks’ time, Chandra said, “Recently, because of this restructuring process they (Dish TV) amended their business model as well, which should be a very aggressive business model. So we haven’t been able to do the valuation of these different assets sitting in different entities like Zee Telefilms and ASCEL yet.”

    Dish TV’s operations are managed by Entertainment Era Network Ltd, while Zee Telefilms has a content supply deal with it. Once the regulatory and other permissions come through, the DTH business will be consolidated under “Dish TV Ltd or something (on those lines),” Chandra said.
    Asked about the equity base of the two new proposed companies, Chandra said that while that of Zee Telefilms Limited will remain unchanged at Rs 410 million, that of Zee News Limited will be approximately Rs 250 million.

    The equity base of the cable business under WWIL will be about Rs 250 million, says the man who has built up a business empire ranging from real estate to media to packaging after starting out exporting rice to the erstwhile USSR in the 1970s under the Essel brand name.

    Dwelling on the valuation of the cable business being carried out under Siti Cable, a 100 per cent subsidiary of Zee Tele, Chandra said, the value of Siti Cable ought to be in the region of $ 800- $ 900 million.

    Zee Telefilms, according to Chandra, bought back 50 per cent of Siti Cable from News Corporation in 1999-2000 at a valuation of Rs 15 billion.

    “Subsequently it (Siti Cable) was valued at Rs 2500 crore (Rs 25 billion). We are getting paid for about a million homes (now). So, if you take 1 million homes’ valuation at $ 500 per subscriber, that is $ 500 million plus if you take the rest of 5.8 million (subscribers) even at $ 50 valuation. So that makes this entity at about $ 800-900 million.on Rs 30 crore (Rs 300 million) equity basis, but the investment was of about Rs 500 crore (Rs 5 billion) in this business,” Chandra explained.

    Asked about the prospects of Zee Sports, Chandra said as a corporate entity and business Zee Telefilms would be left with the sports channel after the restructuring is completed.

    Pointing out that Zee Sports is “still at a developmental stage,” Chandra said, “I will not call that a loss making entity. There are investments in it. Other than that, all the businesses are profitable in ZTL. The new start-ups of regional channels in Telugu, Kannada, etc are all a part of Zee News Ltd now.”

    The Zee Telefilms scrip closed on the Bombay Stock Exchange at Rs 242.50 after opening the day at Rs 239.55.

  • ADAE to create radio division named Adlabs Radio Pvt Ltd

    ADAE to create radio division named Adlabs Radio Pvt Ltd

    MUMBAI: Anil Dhirubhai Ambani Enterprises (ADAE) has finally created a radio division for its FM radio foray and has sought government clearance for the same.

    The radio division of Adlabs Films, which bagged FM radio licences in several cities of India and is one of the bigger players in the arena, will be called Adlabs Radio Pvt Ltd.

    However, a brand name under which Adlabs Radio will run the FM radio services has not been decided yet.

    According to sources in the information and broadcasting ministry, the proposal is “under routine examination”.

    Adlabs Radio Pvt Ltd is a special purpose vehicle (SPV) created by ADAE for its radio business, while the corporate entity and the official licencee continues to be Adlabs Films Ltd.

    The SPV has been created for a focussed approach on the radio business as Adlabs Films concentrates more on the business of running multiplexes and post-production film facilities.

    Under the licencing agreement, licences are not transferable after being formally awarded to a company.

    In the recently-concluded bidding process for FM licences, the government has allowed foreign investment up to 20 per cent in radio ventures, but such deals had to be concluded before the bids were opened in the first week of February.

    Moreover, no change in shareholding pattern is allowed, under the guidelines, for the first five years of the 10-year licence period.

    The Anil Ambani controlled Adlabs Films has won 57 frequencies across the country, but had to surrender 12 stations to adhere to another norm, which mandates no single company can own more than 15 per cent of the total number of frequencies put up for sale throughout the country.

    Adlabs Films’ scrip opened on Wednesday at Rs 403 on the Bombay Stock Exchange (BSE) and touched a high of Rs 409 and a low of Rs 395 during the trading day.