NDTV gains 18% on talks of stake sale in lifestyle arm

New Delhi-based NDTV Ltd today closed 17.75 per cent higher at Rs 126.05 on the Bombay Stock Exchange. The stock has been moving northwards on the back of market talks that a foreign investor is looking at buying stake in NDTV Lifestyle, a subsidiary of NDTV. Yesterday, the stock had closed 3.5 per cent higher.

“There has been market speculation that Astro is buying stake in NDTV Lifestyle after a news report was published in a financial daily and that has been driving the stock. Fundamentally, there has been no change in the company and we think this price rise has been solely on the back of the news report,” said Vikash Mantry, research analyst, media and entertainment, Batlivala & Karani Securities.

On Saturday, a financial daily had published a news report that Malaysia-based investor Astro was buying a 49 per cent stake in NDTV Lifestyle Holding, for $40 million. NDTV Lifestyle is the promoter of NDTV Goodtime, the lifestyle channel of NDTV Group.

An NDTV executive, who did not want to be identified, said today, “Reports of Astro picking up stake in NDTV Lifestyle are purely speculative. We cannot comment on such market reports.”