New Delhi: Adani Group will launch its open offer on October 17 for acquiring an additional 26 per cent stake in media firm NDTV.
The open offer for acquiring 1.67 crore equity shares, for which a price of Rs 294 per share has been fixed, will tentatively close on November 1, said an advertisement by JM Financial, which is managing the offer.
If fully subscribed at a price of Rs 294 per share, the open offer will amount to Rs 492.81 crore,
On August 23, Adani group announced to acquire a 29.18 per cent stake in NDTV through the acquisition of VCPL, which holds a 99.99 per cent stake in RRPR Holding.
Following this Adani group firms - Vishvapradhan Commercial Private Limited (VCPL) along with AMG Media Networks and Adani Enterprises Ltd - have proposed to acquire an additional 26 per cent or 1.67 crore equity shares.
Days after this announcement, NDTV's founder promoters asserted that the deal cannot go ahead without Sebi's nod.
In an order passed on November 27, 2020, the Securities and Exchange Board of India (Sebi) restrained NDTV founders -- Radhika Roy and Prannoy Roy -- from the securities market for two years and that period ends on November 26.
As restrictions are still in force, hence a prior written approval from Sebi was required for Vishvapradhan Commercial Private Limited (VCPL) for the exercise of the conversion option on the warrants, NDTV founders had said.
RRPR Holding Ltd and Adani group have approached Sebi, seeking clarity on the applicability of the regulator's earlier order regarding the conversion of warrants into shares, which has become a decisive factor in the hostile takeover battle for the media group.
Though Adani group has already rejected NDTV's assertion saying that promoter entity RRPR Holding is not a part of the regulator's order that restrained Prannoy and Radhika Roy from accessing the securities market.
Terming the contentions raised by RRPR Holdings as "baseless, legally untenable and devoid of merit", VCPL had said the holding firm is "bound to immediately perform its obligation and allot the equity shares" as specified in the Warrant Exercise Notice.