Vishvapradhan Commercial Private Ltd, a little-known entity through which Adani Group has launched a hostile bid for NDTV Ltd, had an annual turnover of just Rs 60,000 few years back but it gave Rs 400 crore of interest-free loans to the broadcaster in 2009, as per Sebi orders.
Besides, the ‘loan agreement’ signed at that time with promoters of NDTV had a unique provision that “over the next 3 to 5 years, the borrower and the lender will look for a ‘stable’ and ‘reliable’ buyer of RRPR, who will maintain the brand and the credibility of NDTV”.
RRPR Holding Pvt Ltd was set up by Radhika Roy and Prannoy Roy as a private limited company, whose erstwhile 29.18 per cent stake in NDTV had apparently got transferred to VCPL, which has now been sold to Adani Enterprises Limited and AMG Media Networks Limited.
On Tuesday, VCPL exercised the right to acquire 99.5 per cent of the equity shares of RRPR and this has triggered an open offer to acquire up to 26 per cent stake in NDTV.
Subsequently, VCPL along with Adani Media Networks Ltd and Adani Enterprises Ltd has made the open offer at a price of Rs 294 each for the acquisition of up to 1.67 crore fully paid-up equity shares of NDTV, taking the size to Rs 493 crore.
However, NDTV said the debt was converted into equity without any input from the founders or the company.
The rights exercised were part of the loan agreements signed by VCPL with the promoters of NDTV.
NDTV took a loan of Rs 350 crore from VCPL in 2009 to pay the loan earlier availed by news channel from ICICI Bank and a year later the broadcaster availed a loan of Rs 53.85 crore from VCPL. The ICICI Bank loan was taken to repay an earlier loan from Indiabulls.