NDTV Founders Prannoy Roy, Radhika Roy Resign From RRPRH Board; Transfer Shares To Adani Holding Company
December 1, 2022: NDTV on Tuesday announced that its founders and promoters — Prannoy Roy and his wife Radhika Roy — have resigned as directors on the board of its promoter group RRPRH.
The Board of the Company has approved the appointment of Sudipta Bhattacharya, Sanjay Pugalia, and Senthil Sinnia Chengalvarayan as Directors with immediate effect.
Prannoy Roy and his wife Radhika Roy, founders and promoters of news broadcaster New Delhi Television (NDTV), have resigned as directors on the board of promoter group RRPR Holding Pvt Ltd, which owns 29.18 percent stake in NDTV.
NDTV said it has been informed by “Promoter Group Vehicle RRPR Holding Private Limited (RRPRH) that the Board of Directors in its meeting held today i.e. November 29, 2022 has accepted the resignation of Prannoy Roy and Radhika Roy as Directors of the Board. RRPRH No, the closure of business hours on November 29, 2022 will be affected.”
The board has approved the appointment of Sudipta Bhattacharya, Sanjay Pugalia, and Senthil Sinnia Chengalvarayan to the board of RRPRH with immediate effect, NDTV said in a statement to stock exchanges on Tuesday.
On Monday, NDTV’s promoter firm RRPR Holding said it has transferred 99.5 percent of its equity capital to Adani Group-owned Vishwapradhan Commercial (VCPL), thus completing the official takeover of NDTV by the Adani Group.
NDTV shares going to Adani Group gives it control of a 29.18 percent stake in the news broadcaster. The group, led by India’s richest man Gautam Adani, is also running an open offer for another 26 percent stake in the media firm.
It started on November 22 and will close on December 5. Shareholders have so far tendered 5.3 million shares or 31.78 percent of the issue size of 16.7 million shares in Adani Group’s open offer for NDTV.
For those who are unaware, 10 years ago Royce acquired a little-known company VCPL for Rs. 400 crore loan was taken.
Against this interest-free loan, RRPR has issued a warrant to VCPL giving it the right to convert 99.9 percent stake in RRPR if it is not repaid.
VCPL, which was acquired by the Adani Group in May, exercised the rights in August this year and acquired 99.5 percent equity shares of RRPRH.
Following this, the Adani Group decided to make an open offer to acquire the next 26 percent state stake in NDTV.
This will take the conglomerate group’s total stake to 55.18 percent. The Roy couple founded the news channel NDTV in 1988.
On Adani’s bid to take over his company, Royce had earlier said it was “executed without any input, communication or consent of the founders of NDTV”.
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