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Our Bureau

Mumbai, June 24 The Mumbai-based real estate major HDIL Group is acquiring 51 per cent stake in Broadcast Initiative Ltd (BIL), a Hindi news channel, besides a 51 per cent shareholding each in Sri Adhikari Brothers Media Ltd (SABML), operating regional Marathi Channels (Mi Marathi), and Technocraft Media Pvt Ltd (TMPL).

Broadcast Initiatives Ltd has informed the BSE that its board has decided to increase the authorised share capital of the company from Rs 25 crore to Rs 30 crore. And, allot on a preferential allotment basis, 60-lakh fully paid-up equity shares of Rs 10 each at a price up to Rs 36.50 a share to HDIL Infra Projects Pvt Ltd.

HDIL Group, through its associates and individual members, following the agreement with the promoters of BIL, will acquire 51 per cent in BIL through a mix of preferential issue of shares, equity purchase from existing promoters and a subsequent open offer. Adhikari Brothers will retain a balance shareholding, which may total up to 24 per cent post completion of the transaction.

The transaction, subject to shareholder and regulatory approvals, was unanimously approved by the BIL board in Mumbai on Tuesday.

Simultaneously, with the transaction of acquiring 51 per cent in BIL, the HDIL Group is acquiring 51 per cent in both SABML and TMPL that is starting the regional Bhojpuri channel through a mix of fresh issue of capital in SABML and TMPL companies and purchase of equity from the existing shareholders.

Mr Rakesh Kumar Wadhawan, Chairman of the HDIL Group, said: “The acquisition of 51 per cent stake in BIL SABML and TMPL is part of the group’s long-term strategy of becoming a significant player in the fast growing media and entertainment space. This will prove to be an ideal entry point for the group, because of the vast media experience of Adhikari Brothers. The plan is to create a bouquet of regional news and entertainment channels and become a leading media conglomerate by entering into other assets such as film production, distribution and studio facilities.”

The Vice-Chairman and Managing Director of Broadcast Initiatives Ltd, Mr Markand Adhikari, said: “The partnership puts us on a new and much stronger platform to harness our capabilities and cope with the increasing competition in the national and regional broadcasting segment. Sri Adhikari Brothers’ core strength lies in its creative abilities and to face other players in the broadcasting segment, we need to partner with a strong and aggressive player like the HDIL Group to achieve sustainable growth in the medium and long term.”

More Stories on : Mergers & Acquisitions | Radio/TV | Real Estate & Construction

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