MUMBAI: Dr Prannoy Roy promoted New Delhi Television (NDTV) is considering splitting its news and entertainment businesses into separate entities.
This is being done so as to unlock shareholder value and to promote focused growth of its various businesses. The company said that the reorganisation of the company could include de-merger and / or split of the company into news related businesses and investments in ‘Beyond News’ businesses (NDTV Imagine), which are currently held through its subsidiary NDTV Networks Plc.
The creation of focused entities would also enable bringing in strategic and financial partners who have been in discussions with the company from time to time.
The company’s board of directors has decided to constitute a committee to evaluate various options keeping in view interest of all stake holders and take appropriate steps including appointment of financial and legal advisors etc.
The company said that the reorganisation plan, once finalised would be subject to requisite statutory process and approvals.
NDTV also recommended a dividend of 20 per cent of the face value of shares (Rs 4) i.e. Re. 0.80 per share.