The Hindu Business Line : Global Broadcast files for IPO

Global Broadcast News Ltd (GBN), a TV18 Group company and owner of CNN-IBN, has filed its draft red herring prospectus with the Securities & Exchange Board of India to enter the capital market with its initial public offering of equity shares.

The company proposes to raise up to Rs 105 crore through the issue of equity shares of Rs 10 each for cash at a premium to be decided through the 100 per cent book-build process. The equity shares are proposed to be listed on the Bombay Stock Exchange and the National Stock Exchange, a company release said here today.

The net issue to public is Rs 100 crore and Rs 5 crore is reserved for the employees.

Of the net offer to public, 60 per cent is reserved for allotment to qualified institutional buyers on a proportionate basis, five per cent of which will be available for allotment to mutual funds.

Further, up to 10 per cent of the net offer to public is reserved for allotment to non-institutional investors and the balance of up to 30 per cent for allotment to retail investors.

Mr. Sameer Manchanda, Joint Managing Director, said the IPO would help strengthen GBN's position in the television news business and tap future growth opportunities

The book running lead managers to the issue are ICICI Securities Ltd and Kotak Mahindra Capital Company Ltd. JM Morgan Stanley Ltd and IL&FS Investsmart Ltd are the co-book running lead managers, the release added.