Stronger signals from Hathway Cable

Listing of its subsidiary and limited impact of note ban are key positives

Hathway Cable and Datacom (Hathway) has a number of triggers going for it. Its subsidiary GTPL Hathway (GTPL), which offers cable TV and broadband services in regional pockets, is raising more than Rs 300 crore via a fresh issue of shares and offer for sale (OFS). GTPL accounts for 41% of Hathway’s consolidated revenues.  

While the proceeds from the issue will be used to nearly half GTPL’s debt to Rs 230 crore, the funds from OFS will flow into Hathway. Though there is no clarity on how Hathway will deploy this money, analysts estimate this money could be used