Cable TV
Siti Network looks to raise $100 million
MUMBAI: Essel group multisystem operator (MSO) Siti Network has plans to raise $100 million through an issue of securities and/or equity related instruments. The company informed the Bombay Stock Exchange (BSE) that it needs the money to fund its operations. It has an ambitious plan to further expand its footprint in the cable TV and broadband landscape in India as DAS progresses into its last phase.
Siti Network said it had got an in-principle board approval to raise the money taking the equity or equity related instrument route through a qualified institutional placement (QIP)/external commercial borrowings (ECBs) with rights of conversion into equity shares, foreign currency convertible bonds (FCCBs), American Depository Receipts (ADRs), global depository receipts
(GDRs) or any other securities convertible into or exchangeable for equity shares or securities linked to equity shares.
The company’s board of directors approved the fund raising and other proposals at its meeting held on 26 August.
Siti Network further stated that as per a family arrangement agreed between the promoter group, communication has been received from Dr Subhash Chandra, Jawahar Lal Goel, Laxmi Narain Goel and Ashok Kumar Goel to declassify the three mentioned along with their respective family members as promoters of the company in terms of Regulation 31A of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The board decisions will take effect after necessary corporate and regulatory approvals are obtained.
This is not first time that the company is raising funds. In October 2014, the company’s shareholders had approved raising up to $100 million by passing a special resolution through postal ballot. However, against this, it made a QIP issue not exceeding Rs 250 crore; of which it received a subscription for Rs 221.11 crore at a price of Rs 35 per Re 1 share.
Then earlier this year, it received promoter funding to the tune of Rs Rs 530 crore. Most of it was used to pare down its debt, while a minority portion was used for acquisition, including bigger stakes in associate companies and joint venture partners.
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MUMBAI: When margins wobble, liquidity talks and in Q3 FY25-26, cash did most of the talking. Den Networks Limited closed the December quarter with consolidated revenue of Rs.251 crore, marginally higher than the previous quarter but down 4 per cent year-on-year, even as profitability stayed resilient on the back of strong cash reserves and disciplined cost control.
Subscription income softened to Rs.98 crore, slipping 3 per cent sequentially and 14 per cent from last year, while placement and marketing income offered some cheer, rising 15 per cent quarter-on-quarter to Rs.148 crore. Total costs climbed faster than revenue, up 7 per cent QoQ to Rs.238 crore, driven largely by higher content costs and operating expenses. As a result, EBITDA dropped sharply to Rs.13 crore from Rs.19 crore in Q2 and Rs.28 crore a year ago, pulling margins down to 5 per cent.
Yet, the bottom line refused to blink. Profit after tax stood at Rs.40 crore, up 15 per cent sequentially and only marginally lower than last year’s Rs.42 crore. A healthy Rs.57 crore in other income helped cushion operating pressure, keeping profit before tax at Rs.48 crore, broadly stable quarter-on-quarter despite the tougher cost environment.
The real headline-grabber, however, sits on the balance sheet. The company remains debt-free, with cash and cash equivalents swelling to Rs.3,279 crore as of December 31, 2025. Net worth rose to Rs.3,748 crore, while online collections accounted for 97 per cent of total receipts, underscoring strong cash discipline across operations, including subsidiaries.
In short, while Q3 showed signs of operating strain, the financial backbone remains solid. With zero gross debt, steady profits and a formidable cash war chest, the company enters the next quarter with flexibility firmly on its side proving that in uncertain markets, balance sheet strength can be the best growth strategy.
