RIL-owned TV18 Broadcast to merge with Network18, share exchange ratio announced

Reliance-owned TV18 Broadcast Ltd on Wednesday announced its merger with Network18 effective April 2023. The merger will consolidate the TV and Digital news businesses of the Network18 Group in one company and will help create the country's platform-agnostic news media powerhouse with the widest footprint across languages, straddling both TV and Digital, the company said in an exchange filing.

The merged entity will comprise the TV portfolio of TV18 (20 news channels in 16 languages and CNBCTV18.com), Digital assets of Network18 (News18.com platform across 13 languages and Firstpost) as also moneycontrol website and app. Viacom18 with its portfolio of JioCinema and 40 TV channels will be a direct subsidiary of Network18, the company said, adding that Network18 will continue to hold its investment in BookMyShow.

The company also announced the share exchange ratio. Under the arrangement, those holding 172 shares of TV18 will get 100 shares of Network18. A joint valuation report for the fair share exchange ratio has been provided by PwC Business Consulting Services and Ernst & Young Merchant Banking Services, the broadcaster said, adding that the merger is subject to all necessary approvals.

TV18 Broadcast Limited, a 51.17 per cent subsidiary of Network18, is engaged in the media business and it broadcasts general news channels in Hindi, English, and other regional languages and business news channels in Hindi, English, and Gujarati.

Through its subsidiary Viacom18, the broadcaster also operates JioCinema. The turnover for FY 2022-23 and net-worth as of March 31, 2023, were Rs 1467.75 crore and Rs 3113.33 crore, respectively, the filing said.