The promoter group of New Delhi Television, RRPR Holdings, is being acquired by Adani Group, but it may not be able to close the deal without the market regulator‘s approval,  stated a regulatory filing by the New Delhi Television Limited (NDTV) on August 25.

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NDTV shares remained trapped in the upper circuit for the third consecutive session Wednesday, reaching a 14-year high. Adani Group, which recently set up a media unit, said that it will purchase 29.18% of the organization and make an open offer to acquire the remaining 26%.

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“In view of directions in force vide order dated November 27, 2020, of the Securities and Exchange Board of India (SEBI), restraining the Founder-Promoters Dr Prannoy Roy and Mrs Radhika Roy from accessing the securities market, and further prohibiting buying, selling, or otherwise dealing in securities, directly or indirectly, or being associated with the securities market in any manner whatsoever for a period of 2 years, which expires on November 26, 2022, unless pending appeal proceedings were to successfully conclude prior, SEBI approval is necessary for the proposed Acquirer to secure 99.5% interests in the Promoter Group vehicle since this would consequently lead to the acquisition of voting rights in respect of 29.18% of the issued share capital of the Target Company held by the Promoter Group vehicle,” NDTV said.

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“Details in compliance with Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, will be provided to VCPL,” it added.

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On August 23, NDTV stated that its founders had not consented to VCPL using its rights to acquire 99.50% control of RRPR, the promoter company that owns 29.18% of the media group. According to the company, the rights were “executed without any input from, conversation with, or consent of the NDTV founders”.