Network18 to exit data & news terminal business
5 Dec 2012 4:36 AM IST
Media conglomerate Network18 on Monday said it will sell its entire stake in financial data and news terminal business NewsWire18 to private equity firm Samara Capital for Rs 90 crore.
‘Network18 has entered into a definitive agreement with Samara Capital to divest its entire stake in NewsWire18 and the total transaction will result in proceeds of Rs 90 crore for Network18. This is in line with the stated objective of divesting non-core assets profitably to allow greater focus on its core television and digital businesses,’ Network18 said in a statement.
NewsWire18 will also be rechristened over the next 90 days as a result of the transaction. It has more than 600 customers across banks, regulators, insurance companies, equity and commodity brokerages, the corporate sector, media houses and educational institutions. The transaction is expected to add Rs 70 crore to Network18’s consolidated pre-tax profit for the current quarter.
‘The divestiture of Newswire18 is a reflection of our commitment to profitably monetise non-core assets for the benefit of our shareholders and to also facilitate the growth of these businesses to the next level,’ Network18 Managing Director Raghav Bahl said.
‘Network18 has entered into a definitive agreement with Samara Capital to divest its entire stake in NewsWire18 and the total transaction will result in proceeds of Rs 90 crore for Network18. This is in line with the stated objective of divesting non-core assets profitably to allow greater focus on its core television and digital businesses,’ Network18 said in a statement.
NewsWire18 will also be rechristened over the next 90 days as a result of the transaction. It has more than 600 customers across banks, regulators, insurance companies, equity and commodity brokerages, the corporate sector, media houses and educational institutions. The transaction is expected to add Rs 70 crore to Network18’s consolidated pre-tax profit for the current quarter.
‘The divestiture of Newswire18 is a reflection of our commitment to profitably monetise non-core assets for the benefit of our shareholders and to also facilitate the growth of these businesses to the next level,’ Network18 Managing Director Raghav Bahl said.
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