DEN network prices IPO between Rs 195-205/sh reports CNBC-TV18 quoting sources.
Here is a verbatim transcript of Raghav Bahl, Network 18 on DEN
Q: The cable distribution company Den is heading for an IPO. Could you tell us what TV18 owns – if anything at all in Den and whether you will monetize it once the IPO is down or at the IPO?
A: We are a private equity investor in Den and that investment has happened through the TV18 balance sheet via our private equity vehicle. I understand that on a fully diluted basis, post IPO, we will have slightly upwards of 7% of that company. So if Den happens to do its IPO at the price at which it is expecting to do on its prospectus filing with Sebi, then the amount of cash that would be equivalent to the stake that we hold would be in the region of Rs 150-200 crore. Do remember that we invested less than Rs 20 crore in that company. So this is a handsome profit that TV18 would be sitting on.
As to when we would like to monetize it – at what stage? Those are decisions we will take once the company lists and we will watch its performance like any other private equity investor. I must clarify that we are private equity investor in that company and have no further role to play and have made, as things stand today, on the filings that the company has done a very handsome profit
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