NEW DELHI: Stating reasons on the hostile takeover of news media outlet NDTV, billionaire Gautam Adani, Chairman of the Adani Group, said he wants to build a global news brand as India doesn’t have a single media outlet compared to big international media houses such as Financial Times or Al Jazeera.
In an interview to Financial Times, Adani, now worth $136 billion, said buying NDTV is a responsibility rather than a business opportunity for him. The billionaire said he has invited NDTV owner-founder Prannoy Roy to remain its head.
Dismissing criticism that the hostile takeover is done to curb voice that are critical of the current regime, Adani, who shares close proximity with Prime Minister Narendra Modi, questioned, “Why can’t you support one media house to become independent and have a global footprint?” He added,“Independence means if the government has done something wrong, you say it’s wrong.
At the same time, you should have courage when the government is doing the right thing every day. You have to say that.” Adani’s exercise to takeover NDTV is in its final stage. The open offer by Adanis for acquiring additional 26% equity in NDTV continues to see steady inflow. As of Friday, a total of 39.35 lakh equity shares, representing 23.48% of the maximum offer size of nearly 1.68 crore equity shares were tendered.
The offer price/floor price has been kept at Rs 294 and would end on December 5. If the total equity base of NDTV is taken into account, the cumulative shares tendered in the open offer accounts for 6.10% stake of the listed media outlet. The surrender of shares by existing shareholders comes even as the current share price of NDTV commands a premium of over 30% when compared with the open offer price.
On Friday, shares of NDTV gained 5% to close the session at `386.80. The open offer, which got delayed, was triggered after Adani Group indirectly bought a stake of 29.18% in NDTV by acquiring shares of Vishvapradhan Commercial Private Ltd, which, in turn, owned shares held by RRPR Holding Private Ltd, a promoter group company of NDTV.
Adani’s open offer for NDTV shares
As of Friday, NDTV shareholders had offered 23.48% of shares to the Adani Group under the ongoing open offer