Sun TV shares slide 5% on reports of Maran vs Maran feud; details here

Shares of Sun TV fell on reports that MP Dayanidhi Maran accused his brother and Chairman Kalanithi Maran of fraud and money laundering in a legal notice

Shares of Sun TV Network fell over 5 per cent on Friday after reports of a family dispute, with Chairman Kalanithi Maran receiving a legal notice from his brother and MP Dayanidhi Maran, alleging “fraudulent practices”. 

 

The media conglomerate's stock fell as much as 5.25 per cent during the day to ₹580 per share, the steepest intraday fall since April 7 this year. The stock pared some losses to trade 3.8 per cent lower at ₹588.9 apiece, compared to a 0.17 per cent advance in Nifty 50 as of 9:40 AM. 

 

Shares of the company fell for the third straight day and have declined 8 per cent from its recent high of ₹643 apiece, which it hit last month. The counter has fallen 13.7 per cent this year, compared to a 5.08 per cent advance in the benchmark Nifty 50. Sun TV has a total market capitalisation of ₹23,331.78 crore, according to BSE data.   Track LIVE Stock Market Details Here

Maran VS Maran 

The former Union Minister and DMK Member of Parliament Dayanidhi Maran has sent a legal notice to his brother Kalanithi Maran, accusing him of engaging in “fraudulent practices”, according to reports. The MP alleges his brother of cheating and money laundering, during his tenure as chairman of the media conglomerate Sun TV Network. 

 

The legal notice, served to Kalanithi Maran and seven other respondents, including his wife, Kaveri Maran, calls for the restoration of Sun TV's shareholding to its 2003 levels. The notice claimed that while Kalanithi held no shares in Sun TV in 2003, he now owns 75 per cent of the company. 

 

It further alleges that this transition occurred due to a share transfer to their mother, Mallika Maran, without legal documentation such as a death certificate or legal heir certificate following the death of Murasoli Maran. The notice alleged that Kalanithi allotted 12 lakh equity shares to himself at ₹10 each on 15 September 2003, an “illegal act of criminal breach of trust and cheating.” 

 

Dayanidhi Maran will seek a government investigation by the Serious Fraud Investigation Office (SFIO), as these actions are serious crimes under company and criminal laws, according to reports. Kalanithi also alleged that Sun TV misled its stakeholders in its Red Herring Prospectus filed in 2006. 

Sun TV Q4 results

The media firm posted a 10.4 per cent year-on-year drop in consolidated profit after tax (PAT) for the March quarter. The PAT stood at ₹371.77 crore, compared to ₹414.94 crore in the same quarter last year. The company's revenue from operations during the fourth quarter fell by 2.15 per cent to ₹940.59 crore, from ₹961.28 crore a year earlier. 

 

For the financial year ending March 31, 2025, Sun TV recorded an 11.53 per cent drop in net profit, which stood at ₹1,703.64 crore. This was lower than the ₹1,925.80 crore reported the previous year.

About Sun TV

The company is engaged in producing and broadcasting satellite television and radio software programming in the regional languages. The company's flagship channel is Sun TV. The other major satellite channels of the Company are Surya TV, Gemini TV, Udaya TV, Sun Bangla and Sun Marathi. Presently, it is into the business of FM Radio broadcasting at Chennai, Coimbatore and Tirunelveli.