Synopsis:
NDTV plans to raise up to Rs. 400 crore via a rights issue to strengthen its balance sheet, expand distribution, invest in digital growth, reduce debt, and pursue new opportunities.
During Wednesday’s trading session, shares of one of India’s leading entities in news broadcasting and digital journalism are in focus on the stock exchanges, after the company’s Board approved a fund raise up to Rs. 400 crores via rights issue.
At 02:44 p.m., the shares of New Delhi Television Limited were trading in the green at Rs. 140.4 on BSE, up by around 0.2 percent, as against its previous closing price of Rs. 140.15, with a market cap of Rs. 905 crores. The stock has delivered negative returns of over 30 percent in the last one year, but has gained by around 3 percent in the last one month.
What’s the News
As per the latest regulatory filings with the stock exchanges, the Board of New Delhi Television Limited (NDTV) has approved a fund raise through the issuance of fully paid-up equity shares of face value of Rs. 4 each. The fundraising of up to Rs. 400 crores will be executed on a rights basis, giving eligible shareholders as of the record date an opportunity to participate.
This proposed capital infusion represents a significant step in strengthening NDTV’s balance sheet and enhancing its financial flexibility. The additional resources will allow the company to advance its growth strategy with greater resilience, including expanding distribution to widen its domestic and international presence, investing in brand-building, developing new intellectual properties, reducing debt, and supporting other general corporate initiatives.
In addition, NDTV is actively exploring new opportunities, including regional language news, international broadcasting through NDTV World, and live event programming, as part of its ongoing efforts to diversify its offerings and strengthen audience engagement.
Financials & more
NDTV reported a marginal improvement in its revenue from operations, showing a year-on-year increase of around 15 percent from Rs. 94 crores in Q1 FY25 to Rs. 108 crores in Q1 FY26. In contrast, its net loss increased during the same period from Rs. 47 crores to Rs. 70 crores, representing a rise of about 49 percent YoY.
New Delhi Television Limited (NDTV) is a media and broadcasting company and India’s first and largest private producer of news, current affairs and entertainment television.
The Adani Group officially acquired a majority stake in NDTV on 30th December 2022. This followed a series of transactions beginning in August 2022, when Adani Group acquired a 100 percent stake in Vishvapradhan Commercial Private Limited (VCPL), which held convertible warrants in RRPR Holdings, the promoter entity of NDTV. By converting these warrants, Adani Group gained an indirect 29.18 percent stake in NDTV, triggering an open offer to acquire additional shares.
In December 2022, NDTV founders Prannoy Roy and Radhika Roy sold 27.26 percent of their remaining shares to the Adani Group. The deal was completed on December 30, 2022, through a block deal on the National Stock Exchange (NSE), making Adani the majority shareholder with a total stake of 64.71 percent in NDTV.
Written by Shivani Singh
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