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Promoters Not Selling Their Stake To Anybody, NDTV Notifies Bombay Stock Exchange

22/09/2017 3:20 PM IST | Updated 22/09/2017 4:11 PM IST
Screenshot of the NDTV website.

Even as reports emerged on Friday morning of Ajay Singh, co-founder and owner of SpiceJet, of buying majority stake in NDTV, the company has notified the Bombay Stock Exchange saying no such buyout has taken place.

In a corporate announcement, NDTV said:

With reference to your letter seeking clarification on the news item appearing on www.moneycontrol.com, we wish to inform you that the promoters of the Company have not entered into any agreement for sale of their stake in the Company to any person.

The Company is mindful of its obligations under Clause 30 of the Listing Regulations and shall promptly intimate you of any event required which is required to be disclosed under the said Regulations.

We hope that the above clarifies the matter raised in your aforesaid letter.

Thanking you,

Yours faithfully.

The notification comes even as a Spicejet official was reported to have denied the news, while another source said that the deal had been finalised.

Indian Express had reported, earlier in the day, that Singh was going to hold controlling stake of 40% while Prannoy and Radhika Roy will hold 20%.

Until June, the promoters owned 61.45% stake in NDTV, while public entities held 38.55% stake. Singh is expected to write off NDTV's ₹400 crore debt as part of the deal that is valued at around ₹600 crore. It is said about ₹100 crore will go to the Roys.

The news created a huge buzz in the journalism circle and on social media given Singh's know proximity to the ruling party, the BJP.

Singh is said to have been the brain behind the catchphrase, "Ab ki baar, Modi Sarkar" in the run-up to the 2014 Lok Sabha election, that resulted in a landslide win for the BJP.

the stock of NDTV Ltd rose as much as 4.94% to the day's high of ₹53.1 on the Bombay Stock Exchange, according to the Financial Express, as the news of the alleged take over broke.

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