Media firm NDTV has sold 7.38 per cent stake in subsidiary Red Pixels Ventures to A R Chadha And Co, the landlord of its office premises in the national capital, to meet working capital requirements and pay outstanding rent.
"The board of directors of the company...considered and approved transfer of up to 7.38 per cent stake of the company at the rate of Rs 59,824 per equity share in Red Pixels Ventures Ltd (RPVL), a material subsidiary of the company, to A R Chadha And Co (India) Pvt Ltd, the landlord of the office premises in New Delhi," NDTV said in a BSE filing.
NDTV and NDTV Convergence currently hold 37.04 per cent and 55.57 per cent, respectively, in RPVL.
"Transfer of aforesaid shareholding by the company will be reduced basis the exercise of the tag along right by other shareholders of RPVL. The sale proceeds will be utilised by the company for working capital including in relation to payment of outstanding rent by company," the company added.
Last year, NDTV said it had initiated a turnaround plan to bring down costs and improve profitability.
NDTV has also been exiting from non-core business verticals. In September, its shareholders had approved sale of its automobile e-commerce firm Fifth Gear Ventures to Autobyte Pvt Ltd. It owned and operated automobile e-commerce portal carandbike.com.
In June, they had approved the sale of its Indian wear e-commerce firm NDTV Ethnic Retail to Nameh Hotels & Resorts.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)