ITV

Tag: IPO

  • Videocon d2h rings opening bell at Nasdaq

    Videocon d2h rings opening bell at Nasdaq

    MUMBAI: Direct to home (DTH) operator Videocon d2h has become the first Indian media company to ring the opening bell at Nasdaq stock market in New York on 7 April.

     

    The DTH operator has with this become the first Indian private company since 2000 to list overseas, issuing ADR worth $325 million to the public.

     

    To mark the celebrations, member of parliament, India Rajkumar Dhoot and Videocon d2h managing director Saurabh Dhoot visited the Nasdaq market site at Times Square and rang the symbolic opening bell.

     

    At an approx market cap of $1.15 billion, Videocon d2h has become the most valued Indian company at Nasdaq.

     

    Saurabh Dhoot said, “Our listing on the Nasdaq Stock Exchange is a major corporate milestone for the entire Indian media industry not just Videocon d2h and a testament to the tremendous progress we have made under the Digital India vision of our Prime Minister. This is the success of thousands of Videocon d2h employees working tirelessly and our customers who believed in our brand, product and services. We have just begun…”

     

    As reported earlier by indiantelevision.com, the DTH operator had decided to withdraw its Rs 700 crore Initial Public Offer (IPO) proposal since the company is looking to start the process afresh.

  • Videocon d2h withdraws IPO application; Dhoot to visit Nasdaq

    Videocon d2h withdraws IPO application; Dhoot to visit Nasdaq

    MUMBAI: The direct to home (DTH) arm of Videocon group, Videocon d2h has decided to withdraw its Rs 700 crore Initial Public Offer (IPO) proposal since the company is looking to start the process afresh.

     

    In September 2014, the company had decided to file draft offer documents with the Securities and Exchange Board of India (SEBI). However, Videocon d2h, through its lead banker Axis Capital, withdrew the documents on 27 March.

     

    Meanwhile, Videocon d2h executive director Saurabh Dhoot along with Silver Eagle chairman and CEO Harry Sloan will visit the Nasdaq Market Site in Times Square and will ring the Opening Bell 7 April at 9:15 am to 9:30 am ET (6:45 pm IST).

     

    The operator had completed its initial listing on the Nasdaq Global Select Market through a business combination transaction with Silver Eagle Acquisition Corp, which is founded by Harry Sloan and Jeff Sagansky, pursuant to which Silver Eagle contributed approximately $273.3 million to Videocon d2h in exchange for equity shares of the operator which was represented by American Depositary Shares (ADSs), which were distributed to Silver Eagle’s stockholders. Public trading of the Videocon d2h ADSs on Nasdaq under the ticker ‘VDTH’ commenced at the opening of trading on 1 April this year.

     

    On the day of the opening, the approximately $37.75 million Videocon d2h ADSs issued to Silver Eagle stockholders were valued at approximately $453 million based on the opening price of $12 per ADS on Nasdaq. Silver Eagle’s capital infusion in the operator represents one of the largest platform investment deals in Indian media by US investors.

     

    Sloan based on reports had stated that US investor interest in the transaction has been strong as it affords US investors the opportunity to participate early in the US listing of Videocon d2h. “It is the fastest growing DTH Pay-TV operator in India and the fastest growing pay TV market in the world. Beyond this very significant organic growth, we will be exploring numerous possibilities for the company to expand as a force in India’s developing media business,” Sloan had remarked.

     

    The regulator SEBI in February, had decided to keep the processing of the company’s offer document in “abeyance” following a request made by Videocon d2h in this regard. The company was looking at garnering Rs 50 crore through a pre-IPO placement of its shares to institutional investors, according to media reports. The funds were to be used for acquiring set-top boxes (STBs), outdoor units and accessories thereof, repayment/prepayment of certain indebtedness and general corporate purposes. In December 2012 too it had filed draft documents under the name ‘Bharat Business Channel’ with Sebi to raise Rs 700 crore through an IPO. But the company did not launch the same due to bad market conditions.

     

  • Videocon d2h with $1.15 bn market cap set to become most valued Indian co. on NASDAQ

    Videocon d2h with $1.15 bn market cap set to become most valued Indian co. on NASDAQ

    MUMBAI: Videocon d2h has closed the IPO process and is getting listed on NASDAQ, issuing American Depositary Receipt (ADR) worth $325 million to the public with current market cap of $1.15 billion.

     

    Videocon d2h IPO has created several milestones by becoming the first Indian private company since the year 2000 to list overseas, largest Indian IPO in US since 2007 and first sizeable Indian listing on US exchanges since 2010, clearly indicating the renewed global focus on India. The IPO has caught the attention of Top US funds with several multi billion dollar funds investing into the IPO.

     

    At expected market cap of $1.15 billion, Videocon d2h will become the most valued Indian company on Nasdaq.

     

    Videocon d2h managing director Saurabh Dhoot said, “Our listing on the NASDAQ Stock Exchange is a major corporate milestone for the entire Indian media industry not just Videocon d2h and a testament to the tremendous progress we have made under the Digital India vision of our Hon’ble Prime Minister. This is the success of thousands of Videocon d2h employees working tirelessly and our customers who believed in our brand, product and services. We have just begun.”

     

    Videocon d2h has launched many firsts in the Indian DTH industry like the first to launch the 4K Ultra HD Channel, 1000 GB High Definition Digital Video Recorder, Radio Frequency Remote for DTH, Wireless DTH Headphones, 500 channels and services.

  • Ortel Communications makes below par debut on bourses

    Ortel Communications makes below par debut on bourses

    BENGALURU: Ortel Communications Limited (Ortel) debuted at Rs 160.05 per share on the National Stock Exchange (NSE), about 11.6 per cent below its listing price or Rs 181 per share on 19 March. The company had issued its shares at Rs 181 each early this month in its initial public offer (IPO), which was under subscribed by about 25 per cent.

     

    The high for the day was Rs 168.05 and it closed at Rs 162.25 on the NSE. Close to 26520 shares traded on the NSE at traded value of about Rs 43.90 lakh. 

     

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore. 

     

    On the Bombay Stock Exchange (BSE), the stock breached the lower circuit of Rs 171.95 with a turnover of Rs 5.11 lakh and a total traded quantity of 2964 shares.

     

    Financial industry sources explain that though the company is in the last mile connectivity business, its performance over the last few years has been dismal and hence the poor opening.

     

    The Ortel IPO opened on 3 March, 2015 for up to 1.2 crore (12 million) equity shares of face value of Rs 10 each including a share premium per equity share. The price band was fixed from Rs 181 to Rs 200 per equity share. The issue constituted 39.25 per cent of Ortel’s fully diluted post-issue paid up equity share capital and included up to 60 lakh fresh issue shares and 60 lakh shares by the selling shareholder NSR-PE Mauritius LLC. Facing a lukewarm response, the company had to cut the offer size by 36.7 lakh shares, pruning the NSR component from the IPO to that extent.

     

    The company had allotted 25.57425 lakh equity shares (28.416 per cent of QIB portion) at the rate of Rs 181 per share aggregating Rs 46.29 crore to Axis Mutual Fund and ICICI Prudential Life Insurance, before the IPO opened.

     

  • Anchor investors invest Rs 60 crore in Adlabs Entertainment; initial response to issue cold

    Anchor investors invest Rs 60 crore in Adlabs Entertainment; initial response to issue cold

    BENGALURU: Yesterday, a day before its IPO opened, anchor investors put in Rs 60 crore for the approximately Rs 470 crore Adlabs Entertainment IPO. Anchor investors – hedge fund under Edelweiss, mutual funds under Axis, L&T Fin, HDFC AMC and a fund under Daiwa brought in at the lower end of the Rs 221-230 price band.

     

    Note: 100,00,000 =100 lakh = 10 million =  1 crore

     

    The breakup of the anchor investor allotment is:

     

    5,21,495 equity shares to Japan Trustee Services Bank A/C Japan Trustee Services Bank, STB Daiwa India Stock Active Mother Fund; 4,34,850 shares to HDFC Trustee Company Limited – HDFC Infrastructure Fund; 2,17,425 shares to Axis Mutual Fund Trustee – A/C Axis Mutual Fund A/C Axis Midcap Fund; 2,17,360 shares to Axis Mutual Fund Trustee – A/C Axis Mutual Fund A/C Axis Smallcap Fund; 4,52,530 shares to L&T Mutual Fund Trustee – L&T Equity Fund; 2,26,265 shares to L&T Mutual Fund Trustee – L&T India Special Situations Fund; 6,52,210 Shares to IL&FS Trust Company – Forefront Alternative Investment Trust – Forefront Alternative Equity Scheme.

     

    The overall issue, including the anchor allotment portion, comprises 2.003 crore shares of which around a tenth is through an offer for sale by the promoters. Post the anchor investor allotment, Adlabs Entertainment has offered 1.76 crore shares to the public. The subscription period of the IPO is 10-12 March.

     

    Day one today saw a poor response according to a report published in VC Circle, with just under three per cent subscription. The issue saw zero participation from institutional investors on the first day with HNIs & corporates bidding for seven per cent of their portion and retail investors pitching in with almost a similar participation for the shares reserved for them says the report.

     

    As mentioned earlier, Adlabs Entertainment, the company that owns and operates Imagica-The Theme Park had proposed to open a public issue of up to 20,326,227 equity shares of face value of Rs 10 including a share premium per equity share on 10 March. 

     

    The company has fixed the price band from Rs 221-230 per equity share. The issue comprises a fresh issue of 18,326,227 equity shares and an offer of sale of 2,000,000 equity shares by Thrill Park Limited. The minimum bid lot is 65 equity shares and in multiples of 65 equity shares thereafter.

     

    The issue constitutes 25.44 per cent of the post-issue paid-up equity share capital of the company. Adlabs Entertainment, in consultation with the Global Co-ordinators and Lead Managers, will offer a discount of Rs 12 on the issue price to retail individual bidders. 

     

    The issue is being made through the Book Building process wherein at least 75 per cent of the issue shall be allotted on a proportionate basis to Qualified Institutional Buyers (QIB), provided that the company and the selling shareholder may allocate up to 60 per cent of the QIB Potion to Anchor Investors on a discretionary basis. Anchor investors could bid on Anchor Investor Bidding Date, that is 9 March. 

     

    The money raised through the Initial Public Offering (IPO) will be used for partial repayment/pre-payment of loans. As per the company, it currently is under a debt of Rs 1100 crore, and hopes to repay close to Rs 330-350 crore through the IPO.

  • Ortel IPO closes; goes through by a whisker

    Ortel IPO closes; goes through by a whisker

    MUMBAI: It was meant to be a test of whether investors have confidence in the media – and more specifically in India’s relatively nascent cable TV sector. And the verdict is that while retail and HNI investors don’t, institutional investors definitely do.

     

    We are referring to the Ortel Communications IPO which closed today. The regional cable TV MSO which approached the market to raise funds for its growth plans, said in a statement, quoting a Kotak Mahindra Capital spokesperson: ““The Ortel IPO has been successfully closed today. Ortel has successfully raised its entire primary capital requirement as stated in the IPO Red Herring Prospectus, along with providing partial exit to New Silk Route (NSR). The QIB segment has been fully subscribed with participation from  Mutual Funds and Insurance companies.The net under subscription in the HNI and Retail segments will reduce the offer for sale component by NSR.”

     

    Simply translated the latter part of that statement means that NSR – its private equity investor – had decided to cut back on the amount of shares it was offering to the public.

     

    At the time the IPO commenced with the price band at Rs 181-200, 12 million shares were on offer for investors. Six million of these were coming from the NSR stable, while Ortel was issuing another six million freshly. With Kotak Mahindra Capital as the issue manager, Ortel managed to rope in  Axis Mutal Fund and ICICI Prudential came in as anchor investors. Both picked up 2.55 million shares (0.9 million to Axis and 16.55 million by ICCI) for Rs 46.2 crore at the lower range of the price band.

     

    That left about 9.45 million shares on offer to qualified instituitional bodies (QIBs) and retail/HNI investors. Bids were received for 7.12 million shares of these by day three of the issue. Thus the public offer was subscribed up to 0.75 time. Overall,  9.68 million shares, including the anchor component,  were lapped up totally or 81 per cent of the issue. The QIBs totally subscribed to what was available for them.

     

    NSR, which was making a secondary sale, decided to lop off the the  shares it was selling 3.67 million, meaning only 61 per cent of its offer was subscribed. It was aiming to raise Rs 108-120 crore through the offfer.

     

    Ortel, on its part, was was looking at raising  Rs 120 crore through the fresh issue.

     

    The Kotak Mahindra spokesperson told indiantelevision.com that the retail investors don’t really understand the potential of cable TV while institutional investors do. “Hence, the QIB portion has been totally subscribed. Ortel has managed to raise all the growth capital it needs for the next two to three years,” he said. “Hence, retail investors who missed this IPO will have to opt for secondary market purchases.”

     

    Estimares are that Ortel would end up raising around Rs 175 crore crore through the IPO. But the final tally totted up to Rs 175 crore-odd, according to Press Trust of India reports.

  • Axis Mutual, ICICI Life are anchor investors for Ortel IPO; allotted 28.42% of QIB portion

    Axis Mutual, ICICI Life are anchor investors for Ortel IPO; allotted 28.42% of QIB portion

    BENGALURU: In its Red Herring Prospectus Ortel Communications had mentioned that out of the 90 lakh shares that form the QIB (qualified institutional bidders) portion of its IPO that opens tomorrow, up to 54 lakh equity shares (60 per cent of QIB portion) would be allotted to anchor investors on the anchor investment bidding date in consultation with the book running lead manager. Further, of the remaining 36 lakh equity shares of the QIB portion, at least 1.8 lakh shares would be allocated to mutual funds.

     

    The anchor investor bidding date was today – 2 March, 2014. The company has allotted 25.57425 lakh equity shares (28.416 per cent of QIB portion) at the rate of Rs 181 per share aggregating Rs 46.29 crore to Axis Mutual Fund and ICICI Prudential Life Insurance. It may be noted that the allotment is at the lowest price of the price band.

     

    The breakup of the anchor allotment is as follows: Axis Mutual Fund’s (Midcap Fund scheme) was allotted six lakh shares (23.46 per cent); Axis Mutual Fund (Small Cap Fund scheme) was allotted three lakh shares (11.73 per cent) and ICICI Prudential Life Insurance Co Ltd was allotted 16.57425 lakh shares (64.81 per cent) aggregating to 25.57425 lakh shares.

     

    Ortel Communications Limited (Ortel) IPO that is to open tomorrow, March 3, 2015, is for up to 1.2 crore (12 million) equity shares of face value of Rs 10 each including a share premium per equity share. The price band is fixed from Rs 181 to Rs 200 per equity share. The issue constitutes 39.25 per cent of Ortel’s fully diluted post-issue paid up equity share capital and includes up to 60 lakh fresh issue shares and 60 lakh shares by the selling shareholder NSR-PE Mauritius LLC.

     

    The funds raised through the IPO would be utilized for expansion of its network for providing video, data and telephony services; capital expenditure on development of digital cable services; capital expenditure on development of its broadband services; and general corporate purposes.

  • Ortel to increase cable TV penetration, broadband with IPO funds

    Ortel to increase cable TV penetration, broadband with IPO funds

    MUMBAI: Odisha based last mile owner (LMO) Ortel Communications, which filed its Red Herring Prospectus (RHP) for a public issue on 21 February, has now announced the price band of Rs 181-Rs 200 per equity share.

     

    As reported first by Indiantelevision.com, the LMO will open the public issue of up to 12 million equity shares of face value of Rs 10 each including a share premium per equity share on 3 March. The issue comprises a fresh issue to the public of up to six million equity shares and an offer for sale up to six million equity shares by New Silk Route (NSR). The bid will close on 5 March.

     

    The minimum bid lot is 75 equity shares and in multiples of 75 equity shares thereafter. The issue constitutes 39.25 per cent of the fully diluted post-issue paid up equity share capital of the company.

     

    In a press conference, held in Mumbai on 24 February, the LMO said that the company and the selling shareholder may, in consultation with the Book Running Lead Manager, allocate up to 60 per cent of the QIB portion to anchor investors at the Anchor Investor Allocation Price, on a discretionary basis, out of which at least one-third will be available for allocation to domestic mutual funds only. Anchor investors can bid on 2 March.

     

    “The issue is being made through the Book Building Process in compliance with the provisions of Regulation 26(2) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended, wherein at least 75 per cent of the issue shall be allotted on a proportionate basis to Qualified Institutional Buyers (QIB). In the event of under-subscription or non-allocation in the Anchor Investor Portion, the balance equity shares shall be added to the net QIB potion. Such number of equity shares representing five per cent of the net QIB portion shall be available for allocation on a proportionate basis to mutual funds only. The remainder of the net QIB portion shall be available for allocation on a proportionate basis to QIBs,” says the company release.

     

    “However, if the aggregate demand from mutual funds is less than 180,000 equity shares, that is five per cent of the net QIB portion, the balance equity shares available for allocation in the mutual fund portion will be added to the net QIB portion and allocated proportionately to QIBs in proportion to their bids. If 75 per cent of the issue cannot be allocated to QIBs, all the application monies will be refunded forthwith. Further, not more than 15 per cent of the issue shall be available for allocation on a proportionate basis to non-institutional bidders and not more than 10 per cent of the issue shall be available for the allocation to retail individual bidders, subject to valid bids being received from them at or above the issue price,” it further reads.

     

    Ortel Communications, through the IPO, is looking at strengthening its presence in the current four states, including Odisha, Chhattisgarh, West Bengal and Andhra Pradesh as well as expanding to other neighbouring regions. The LMO currently offers services in 48 towns with over 21,600 km of cable supported by 34 analogue and five digital headends.

     

    When asked about the reason for raising capital, Ortel Communications chairman BJ Panda said, “We have already gone for three rounds of private equity funding. Ours is a CAPEX heavy business. As we go forward, it is essential to have public presence. The time has come, when the company has some currency to scale up.”

     

    The revenue generated through the IPO will be used for:

     

       –  Deeper penetration: Ortel plans to expand its penetration in not only the existing markets, but also new geographies. “The plan is to grow the number of subscribers,” said Panda.

     

      –   Increasing penetration of digital TV: As the nation is moving towards digitisation, Ortel Communications currently has converted 20 per cent of analogue homes to digital homes. The revenue generated will be used at slowly increasing the number of digital homes.

     

       –  Increasing Broadband: Currently 11 per cent of Ortel’s total subscribers are broadband consumers. The aim now is to take this up. The LMO currently provides data services at a speed of up to 42.88 mbps through the use of cable modem with DOCSIS 2.0. “We are in the process of upgrading the modems to DOCSIS 3.0. This is currently being tested, and has the capacity of providing broadband at a speed of over 340 mbps,” informed Ortel Communications president and CEO Bibhu Prasad Rath.

     

      –  Expand: By buyout of local cable operators and networks. The company so far has entered into agreements with over 490 MSOs/LCOs between April 2009 to December 2014, resulting in an acquisition of 221,155 cable television subscribers.

     

      –   Leasing fibre infrastructure to corporates.

     

    As of 31 December, 2014, the company has 372,979 retail subscribers for analogue cable TV services, 95, 295 retail subscribers for our digital cable services and 58,277 broadband subscribers, including 121 corporate customers with provisioned bandwidth of 806 mbps adding up to 526,551 Revenue Generating Units (RGUs).

     

    For the six months period ending 30 September, 2014, the company’s total income was Rs 719.34 million and its PBDIT was Rs 252.39 million. In the same period, carriage and placement revenue contributed 17.11 per cent of the total revenues from operations. The trade receivables were at Rs 216.50 million i.e. 15.05 per cent of total income annualised, which according to the company, was substantially lower than other listed national MSOs.

  • Q3-2015: Shemaroo reports 17% q-o-q PAT growth; on course to improved EPS in FY-2015

    Q3-2015: Shemaroo reports 17% q-o-q PAT growth; on course to improved EPS in FY-2015

    BENGALURU: For the second quarterly results (Q3-2015) since its listing after its initial public offering (IPO) in September 2014, Shemaroo Entertainment Limited (Shemaroo) has reported a 16.9 per cent growth in PAT at Rs 10.02 crore (11.5 per cent of Total Income from Operations or TIO) in Q3-2015 from Rs 8.57 crore (10.1 per cent of TIO) in Q2-2015, but almost flat (0.6 per cent growth) as compared to the Rs 9.96 crore (11.6 per cent of TIO) in Q3-2014. During 9M-2015, PAT at Rs 28.30 crore (12 per cent of IO) was 38.8 per cent more than the Rs 20.39 crore (9.6 per cent of TIO) in 9M-2014.

     

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

    All numbers in this report are consolidated numbers

     

    The company’s Earnings per Share (EPS) in Q3-2015 at Rs 4.6 was lower than the Rs 5.01 in Q3-2014, but higher than the Rs 3.94 in the immediate trailing quarter. 9M-2015 EPS was 12.93 versus the Rs 10.27 in 9M-2014. During FY-2014, (before IPO and listing) Shemaroo’s EPS was Rs 14.08, and the company should exceed this figure if things continue as they have been so far.

     

    The company’s TIO in Q3-2015 at Rs 87.28 crore was 1.9 per cent more than the Rs 85.65 crore in Q3-2014 and 2.7 per cent more than the Rs 84.96 crore in Q2-2015. In 9M-2015, Shemaroo’s TIO at Rs 236.73 crore was 12 per cent more than the Rs 211.33 crore in 9M-2014.

     

    Shemaroo’s total expenditure (TE) in Q3-2015 at Rs 68.5 crore (78.5 per cent of TIO) was 1.9 per cent lower than the Rs 69.82 crore (81.5 per cent of TIO) and 5.5 per cent more than the Rs 64.91 crore (76.4 per cent of TIO) in Q2-2015. TE in 9M-2015 increased 7.6 per cent to Rs 179.31 crore (75.7 per cent of TIO) from Rs 166.58 crore (78.8 per cent of TIO) in 9M-2014.

  • SEBI asks for clarification from Videocon d2h for its proposed Rs 700 crore IPO

    SEBI asks for clarification from Videocon d2h for its proposed Rs 700 crore IPO

    MUMBAI: Direct to home (DTH) operator Videocon d2h has been in the news for its proposed Rs 700 crore initial public offer (IPO) for long and now the Securities and Exchange Board of India (SEBI) has asked for clarifications from the merchant banker of the DTH operator.  

    While the last date on which communication by SEBI was issued or received was 2 January, the board, today, without disclosing the details said that the clarifications from lead manager (LM) are still awaited.  

     

    The observations on the draft offer document may be issued by the board within 30 days from “the date of receipt of satisfactory reply from the lead merchant bankers, where the board has sought any clarification or additional information from them,” reads SEBI notice.

    It was on 30 September that the board received the draft offer from Videocon d2h through its lead manager Axis Capital.

     

    As per several media reports, while the DTH company has proposed IPO estimates to raise Rs 700 crore, it is also considering to mop-up Rs 50 crore through a pre-IPO placement of its shares to institutional investors.

     

    “While the company has not disclosed the total number of shares to be sold in IPO, the pre-IPO placement could be of 50 lakh shares,” says a PTI report.

     

    It was in October when Videocon d2h filed for its IPO. The company had then said that it plans to spend a portion of the Net Proceeds of the issue towards acquisition of set-top boxes, outdoor units and accessories thereof from TEL, a Videocon Group entity.

     

    The company commenced DTH operations in July 2009 and has grown its subscriber base from 0.44 million gross subscribers as of 31 March 2010, to 11.21 million gross subscribers, as of 30 June 2014, which represents approximately 16.2 per cent of the total DTH subscriber base in India.