IBN18 seeks shareholders' nod to raise stake in JV firms

Network 18 group company, IBN 18 Broadcast has sought shareholders approval to hike its stake in its joint venture firm with media conglomerate Viacom to 50 per cent for a proposed investment of Rs 450 crore.

The company said in a filing to the Bombay Stock Exchange that shareholder consent is sought for making investments from time to time through subscription, loans to any corporate and purchase from existing shareholders, among other things.

In the explanatory statement to the postal ballot request to the shareholders, the company said it needs their consent to make a proposed investment (directly or indirectly) of Rs 450 crore to increase its existing 6.6 per cent stake in Viacom 18 Media to 50 per cent.

The company is also planning to infuse up to Rs 50 crore from time to time in its another JV firm, IBN Lokmat News, which is in expansion mode.

The funds required for the investments would be sourced through internal accruals, borrowings or through equity proceeds and any combination of the foregoing, it added.

Viacom 18 Media operates channels such as MTV, Vh1, Colors and Nickelodeon.

The company had also subscribed to warrants of Viacom18 by paying up to Rs 1.20 crore which would be converted into shares upon exercise of the option by paying an additional $40 million in three annual instalments.