MUMBAI: Network 18 Media & Investments’ subsidiary company Network18 Holdings has further upped its stake in the AIM-listed The Indian Film Company (TIFC) to 80.4 per cent.
As part of this acquisition process of TIFC and in line with the overall objective of consolidating the group’s interest in the film business, Network 18 Holdings has also agreed to acquire a controlling stake of 50% in Film Investment Managers (Mauritius) Ltd, the AMC of TIFC at a valuation of 12% of AUM plus a suitable control premium. Network 18 recently acquired an additional 19 per cent in TIFC, thus taking its stake to 69.2 per cent.
The company received another 11.2 per cent stake offer, taking its total valid acceptance of the offer for a total of 44.4 per cent (24.4 million shares).
Network18 had earlier said that it does not plan to cancel TIFC’s quotation on AIM if it acquires more than 75 per cent of shares in future. However, if the company acquires 90 per cent or more of the existing issued ordinary share capital of TIFC, then it would cancel the company’s quotation on AIM.
Network18 had increased its stake in TIFC to 35.99 per cent, following which it had to make a mandatory offer for all the remaining shares not owned by it, as per UK takeover code. The company said that the offer is closed now. The offer was declared wholly unconditional on 24 August 2009 and 14 days notice was given of the closing of the offer. Such notice having now expired, the offer is now closed," the company said in a statement.