NDTV shares rally 5% as founders Prannoy Roy, Radhika Roy sell stakes to Adani Group

Shares of NDTV climbed 5 per cent in Monday's trade after promoters Radhika and Prannoy Roy in a filing to BSE said they have decided to divest most of their shares in NDTV to the AMG Media Network. Radhika Roy would transfer 89,12,467 shares while Prannoy Roy would transfer 86,65,209 shares to RRPR Holding Private Limited, a BSE filing suggested.

Following the development, the stock rose 5 per cent to hit a high of Rs 357.60 on BSE.

Post the deal, Roys would be left with 5 per cent stake in the company compared with 32.26 per cent before. Adani companies would, on the other hand, hold 64.71 per cent stake in NDTV compared with 37.45 per cent before.

"The AMG Media Network, after the recent Open Offer, is now the single-largest shareholder in NDTV. Consequently, with mutual agreement we have decided to divest most of our shares in NDTV to the AMG Media Network," the founders said in a BSE filing.

AMG Media Networks, a Adani firm, had earlier exercised the rights to acquire 99.5 per cent of the equity shares of RRPR Holding, a promoter group company of NDTV, which triggered an open offer to acquire up to 26 per cent stake in NDTV.

The NDTV founders said ever since the open offer was launched, their discussions with Gautam Adani was constructive. Roys said the suggestions they made were accepted by Adani positively and with openness.

"Adani has invested in a brand that is synonymous with Trust, Credibility and Independence, and we are hopeful that he will preserve these values and expand upon them with all the responsibility required of a leader of an organisation of this nature," the NDTV founders said.

"We look forward to watching NDTV, and its entire extraordinary team, delivering the next phase of growth, one that India can be proud of," Roys added in their statement.

In another filing, NDTV said its board of directors have appointed Sanjay Pugalia as an Additional Director in the capacity of Non-Executive Non-Independent Director; and Senthil Sinniah Chengalvarayan as an Additional Director in the capacity of Non-Executive Non-Independent Director.

Also Read: Stocks in news: Tata Motors, Wipro, Siemens, NDTV and more

Also Read: Tata Steel, ITC, Cipla and Ashok Leyland: Trading strategies by Axis Securities