Network18 to raise Rs 300 cr by issuing debentures

MUMBAI: Network18 Media & Investments today said it will raise Rs 300 crore by allotting debentures to one or more promoter group entities.

The board members of the company have approved to allot 18,691,585 secured optionally fully convertible debentures (SOFCDs) worth Rs 300 crore, carrying a coupon rate of 10 per cent on conversion to various promoters of the company, Network 18 Media & Investments said in a filing to the Bombay Stock Exchange.

"Promoter Group to infuse Rs 300 crore into Network18 Media & Investments," the release added.

The convertible debentures would have the option to be converted into the same numbers of equity shares at Rs 160.50 per share within 18 months from the date of allotment of debentures, it said.

At the end of March quarter, the promoters were having 57.64 per cent stake or 68,535,371 shares in the company.

The company has called for a shareholders meet on June 3 to seek their approval.

Shares of Network 18 Media & Investments today closed at Rs 160.05 on BSE, at par with its previous close.