News Reliance Industries to cut stake in Network18 by 3.1%

[Deepu]

Reliance Industries Ltd (RIL) will cut its stake in Network18 Media and Investments Ltd by 3.1 per cent for an estimated Rs 200 crore (Rs 2 billion). This exercise is being undertaken to comply with the Securities and Exchange Board of India’s (SEBI) rule of minimum 25 per cent public shareholding in a listed company. RIL, which had last year acquired majority holding in Network18 for Rs 4,000 crore (Rs 40 billion) through Independent Media Trust (IMT), said the move was to comply with the regulatory guideline of keeping promoter holding at a maximum of 75 per cent. The offer for sale, to be held on 8 July, will be priced after market hours tomorrow. At the current price the value will be over Rs 200 crore.

Read more at: http://www.televisionpost.com/television/reliance-industries-to-cut-stake-in-network18-by-3-1/ | TelevisionPost.com

 

[scorpionking76]

So now offloading only coz of regulations. Was thinking why to invest and offload?

 

[Technoglitch]

Why the offload, can anyone explain more in this?

 

[Deepu]

Why the offload, can anyone explain more in this?

SEBI has come up with a rule wherein none of the company which is listed should not have promoters holding more than 75%

 

[Technoglitch]

Thank you for the brief detail bro.

 

[DashMajor]

Poor Relaince, 200 crore is not big for them