afaqs! news bureau

NCLT approves Network18's merger plans for TV18 and E18

The merger will consolidate the broadcasting and digital media operations into a unified entity.

The National Company Law Tribunal (NCLT) has approved Network18, along with its subsidiaries TV18 and E18, to move forward with their composite scheme of arrangement, as reported by The Economic Times. In an order issued on June 5, the Mumbai bench of the NCLT instructed the three applicant companies to obtain approval from their equity shareholders and unsecured creditors.

Network18 holds a 51.17% stake in TV18 and a 91.89% stake in E18. Additionally, TV18 owns a 13.54% share in Viacom18, which is currently in the process of merging with Walt Disney's Star India.

The group plans to merge TV18’s broadcasting and digital media businesses with E18’s Moneycontrol business, achieving operational synergies, cost efficiencies, and greater revenue opportunities.

After securing all necessary approvals, TV18, a publicly listed entity on both the BSE and NSE, will be dissolved without the need for winding up. A meeting for the unsecured creditors and equity shareholders of Network18, TV18, and E18 to vote on the scheme is scheduled for July 10. Notably, these companies have no secured creditors.

Retired Supreme Court judge V. Ramasubramanian has been appointed as the chairperson for the meetings. If he is unable to serve in this role, L. Viswanathan, a senior partner at Cyril Amarchand Mangaldas, will act as the chairperson. B. Narsimhan, proprietor of BN Associates, will be the scrutiniser for the meetings, with Venkataraman K., Partner at BN Associates, designated as his replacement if necessary.

Network18 Group announced the merger of TV18 and E18 with Network18 in December 2023.

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