The Hindu Business Line : Sun shines on Raj TV

Chennai May 15 Market interest in Raj Television Networks Ltd, the Chennai-based television channel broadcaster, has perked up with the stock on an upswing and large volumes being traded.

On the NSE today over 27.36 lakh shares were traded and the stock gained 20 per cent. It opened at Rs 190.30 and closed at Rs 226.40. On the BSE, it closed up at Rs 227.40 against the previous close of Rs 189.50.

Raj TV was listed on March 16. It came out with an IPO in February when it issued 35.68 lakh shares of Rs 10 at a price of Rs 257 through the book building route.

Mr M. Rajhendraan, Managing Director, Raj Television, attributed the interest and the buoyancy to the clutch of announcements by the company to broaden its reach and viewership. Also, its visibility has increased with the channel airing the India-Bangladesh cricket series.

The company, which has two channels - Raj and Raj Digital - has announced plans to start 11 more channels. It will soon be telecasting four mega serials each of 200 episodes. On the day it aired the live feed of the first match between India and Bangladesh its TRP rating jumped 100 per cent, he said.

Its channels will soon be available on the DTH services also, he said.

Interest in its channels apart, the interest in its stocks did surprise him, he acknowledged.

Not roping in partner

But other than the company's plans he could think of no other reason that would warrant such attention, he said. The company had no plans to rope in any partner.

Market watchers say there are more reasons for the interest in the company's stocks. They point to recent developments in the State that has resulted in strained relations between the ruling DMK and the Sun TV.

For instance, Raj TV, and not Sun TV, as would normally be expected, got to air live a public meeting to mark the golden jubilee celebrations of the Tamil Nadu Chief Minister, Mr M. Karunanidhi, as a member of the Assembly. A massive and gala occasion in which the Prime Minister, Dr Manmohan Singh, and the Congress leader Ms Sonia Gandhi, participated.