Advertisement


Advertisement

Thread Rating:
  • 6 Vote(s) - 3.83 Average
  • 1
  • 2
  • 3
  • 4
  • 5
Astro to infuse Rs 1 bn for stake hike in Sun TV’s radio subsidiary
Advertisement
#1
MUMBAI: Astro's South Asia Multimedia Technologies Ltd (SAMTL) will infuse between Rs 750 million to Rs 1 billion into Sun TV Network's radio subsidiary company South Asia FM Ltd (SAFL) where it has expressed intent to up its stake from 6.98 per cent to 20 per cent.

The follow-up to this fund inflow will be a capital restructuring in SAFL. As reported earlier by Indiantelevision.com, Sun TV's stake would likely fall by five per cent to 60 per cent.

"SAMTL will pump in between Rs 750 million to Rs 1 billion for the stake hike," says a source in the company.

Sun TV's two FM radio subsidiaries, SAFL and Kal Radio Ltd, have a total debt of Rs 2 billion. "We may decide to retire part of this debt. About Rs 1.3 billion has come in from the parent company," says the source.

Sun's radio businesses will also need support for operational expenses. The share of loss to Sun TV from the radio business is Rs 687.9 million for the financial year ended 31 March 2009. "We expect to lower the loss to Rs 400-450 million this fiscal," the source adds.

SAFL and Kal Radio posted a combined turnover of Rs 331.7 million for FY'09. Sun expects this to increase to Rs 450-500 million in FY'10.

"Kal Radio should turn Ebita positive this fiscal. But combined, the radio business will still be under losses," the source says.

Reply
Thanks given by:
Advertisement
Advertisement




Possibly Related Threads...
Thread Author Replies Views Last Post
  General News: HT Media revamps Radio One Chennai nairrk 0 671 05-13-2019, 02:13 PM
Last Post: nairrk
  General News: Radio Mirchi expands footprint in US with launch in new cities nairrk 0 689 03-07-2019, 09:25 AM
Last Post: nairrk
  General News: Introducing Radio Connex - 'one of a kind' platform for Indian radio industry nairrk 0 751 09-11-2018, 09:13 AM
Last Post: nairrk
  General News: Radio Mirchi launches new station in Bharuch, eyes five more stations in Gujarat nairrk 0 876 08-06-2018, 02:55 PM
Last Post: nairrk
  General News: Radio Mirchi and CCC come together to promote entrepreneurship nairrk 0 826 07-27-2018, 12:36 PM
Last Post: nairrk
  General News: Radio Mirchi's new station in Akola gets soft launch nairrk 0 850 07-26-2018, 12:51 PM
Last Post: nairrk
  General News: Punjabi stars turn RJs for Radio Mirchi nairrk 0 729 07-24-2018, 12:50 PM
Last Post: nairrk
  General News: Radio One, Radio Nasha and Fever FM join forces nairrk 0 773 07-18-2018, 07:38 PM
Last Post: nairrk
  General News: AIR launches multimedia web radio service in Odia language for diaspora nairrk 0 966 07-16-2018, 03:32 PM
Last Post: nairrk
  General News: Red FM: Dehradun gets its first radio station nairrk 0 675 07-13-2018, 09:40 AM
Last Post: nairrk

Forum Jump:


Users browsing this thread: 1 Guest(s)
Advertisement