News Broadcasting
Roys seek FIPB nod to gift daughter NDTV stake
MUMBAI: In terms of statistics, its share transfer. But at a different level, it also denotes the love of parents for their kid.
Tara Roy, daughter of NDTV promoters Radhika and Prannoy Roy, is all set to get a gift from her parents— 15 per cent of the company.
After the shareholding transfer is formalised, Tara could claim a berth on the NDTV board too. At present, she holds 13 shares of the company.
NDTV Ltd. has sought permission from the Foreign Investment Promotion Board (FIPB) to transfer about 15 per cent from the promoters’ shareholding to Tara Roy, a non-resident Indian (NRI).
Presently, NDTV promoters Prannoy and Radhika Roy hold about 27.39 per cent equity stake each in the company, as per information available on the Bombay Stock Exchange (BSE).
Even after the transfer of shares to Tara, the total foreign holding in NDTV will remain well within the foreign investment cap of 26 per cent as required by government regulation for news channels and companies managing such ventures.
The transfer of shares to Tara has been proposed as a gift, according to government sources. Ideally, such transfers should not have attracted a government nod, but because of the beneficiary’s NRI status, the transaction is being put through the FIPB.
According to market analysts, there is no argument that NDTV is a top player in the news space. A recent report on the company’s performance put out by an analyst firm state that NDTV has a No. 1 or No. 2 position in terms of ratings of its channels and as a company has displayed strong growth by showing profits within 15 months of beginning operations.
NDTV scrip closed the day on the Bombay Stock Exchange at Rs 188, having opened at a high of Rs 191.
Recently, the company sought permission from the information and
broadcasting ministry to uplink another news channel from India, which would bring the total number of channels from the company stable to four. The present channels managed by the company are NDTV 24×7, NDTV India and business channel NDTV Profit.
