Television broadcaster NDTV, which has announced plans to float lifestyle and entertainment channels, will raise Rs 400 crore through a mix of debt and equity.
The company's board of directors has approved the fund-raising scheme through preferential issue, qualified institutional placement (QIP), follow-on issue, or rights issue constituting a combination of equity shares, convertible debentures, convertible preference shares and warrants etc.
NDTV, which had recently announced that it will launch three channels under its new entertainment venture called NDTV Imagine, said it is open to dilution of up to 10% of its present paid-up capital. This, the company said, will be carried out at the option of the holders seeking conversion of securities into equity shares. ENAM Financial Consultants, BSR and Co and KPMG have been appointed as advisors for the same, the company said. The fund-raising proposal is subject to shareholders' approval through postal ballot, it added. NDTV said the proposal is a result of the exploration of appropriate structural changes in the organisation. Ex-Star India chief Samir Nair had joined NDTV Group to head the new entertainment venture.
Source : Financial Express