The open offer by the group to acquire an additional 26% of NDTV has been postponed.
Adani Group has delayed its open offer to purchase another 26% of NDTV. It was originally scheduled to open Monday.
Adani Group wrote to SEBI reaffirming its resolve to complete the open offer process. The company stated in a stock exchange filing that VCPL had urged SEBI for its comments on the Draft Letter of Offer.
“While the Underlying Transaction was not consummated due to the stance taken by RRPR [promoter of NDTV], VCPL is committed and intends to continue with the open sale in accordance with its vision in accordance with its provisions of the SEBI Regulations, 2011, (SEBI (SAST Regulations) Regulations), which requires that the Open Offer be completed regardless whether the Underlying Transaction had been consummated,” Adani Enterprises stated in its letter to SEBI.
Through its acquisition of Vishvapradhan commercial (VCPL), the Adani Group indirectly purchased a 29.18% share in NDTV on August 23. It also announced that it would acquire 26% additional shares from the public via an open offer starting October 17.
Through its acquisition of Vishvapradhan commercial (VCPL), the Adani Group indirectly purchased a 29.18% share in NDTV on August 23. It also announced that it would acquire 26% additional shares from the public via an open offer starting October 17.
VCPL had lent more than Rs 400 crore to NDTV founders over a decade ago in return for warrants that enabled the company to purchase a 29.18% stake in the news organization at any time.
The transfer process is still not complete. JM Financial, which manages the open offer for Adani, informed SEBI that Adani Group plans to complete the open offering process regardless of whether or not shares have been transferred.
It also requested SEBI to “provide its observations” on the draft of a letter of the offer submitted in connection with the open sale in accordance with SEBI’s (SAST) regulations.
A Supreme Court appeal is also pending against a recent judgment by the Securities and Appellate Tribunal.
After the SAT overturned the SEBI order against Adani, VCPL was given a clean chit by the SAT in a 2009 agreement with NDTV promoters Pranoy Roy and Radhika Ray. This SAT order has been challenged by SEBI.
According to some reports, SEBI may allow an open offer after the SC has given its final verdict on SAT orders.
