Networkl8 Media & Investments raises cash pool in excess of Rs 600 crore

The Board of Network 18 Media and investments Ltd (Network 18) today approved a preferential allotment of up to 92,02,650 Equity Shares to SAIF Partners at a price of Rs 130 per share and announced the convening of an EGM on July 02, 2009 to obtain shareholders' approval for this allotment.

BMR Advisors is acting as the financial advisor to Network 18 for this fund raise. Access Financial Services acted as the consulting partner. The Board had earlier approved a Qualified institutional Placement of up to 2.5 cr equity shares to Qualified Institutional Buyers for which, it has now setup a committee to manage various aspects of the QIP issue, including the opening / closing of the QIP issue, pricing etc.

The promoter, Mr Raghav Bahl, had recently infused about Rs 250 cr into the company earlier this year. Network 18 will now potentially have access to a cash pool in excess of Rs 600 cr, thus providing a platform to continue to build sustainable value in the strong businesses that Network 18 owns.

The stock closed the day at Rs.155.20, up by Rs.22.05 or 16.56%. The stock hit an intraday high of Rs.160 and low of Rs.135.

The total traded quantity was 432041 compared to 2 week average of 152975.

Source : Equity Bulls

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