NDTV hits upper circuit as Adani Group announces open offer date

New Delhi: Shares of (NDTV) continued their northward movement and hit the upper circuit on Thursday after the Adani Group announced the date for open offer.

Adani Group, led by the world's third richest man Gautam Adani, 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. If fully subscribed at a price of Rs 294 per share, the open offer will amount to Rs 492.81 crore.

The scrip of New Delhi Television was locked in the 5 per cent upper circuit at Rs 490.60, also a new high for the stock. It had settled at Rs 467.25 on Tuesday.

Vishvapradhan Commercial (VCPL) along with AMG Media Networks and have proposed to acquire an additional 26 per cent or 1.67 crore equity shares. Domestic brokerage firm is managing the open offer.

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.

Shares of NDTV have zoomed about 90 per cent in the last one month, whereas the counter has rallied more than 330 per cent in the current calendar year.

Meanwhile, adding another hurdle to the conglomerate's bid to take control of the popular news network, NDTV said a major stake sale by its founders to Adani group would require clearance from India's tax authorities.

The income tax department in 2017 provisionally barred the founders - Prannoy and Radhika Roy - from selling a part of their stake as part of a reassessment of their taxes, NDTV said in an exchange filing late on Wednesday.