Radaan To Raise Rs 21 Crore From Market

Chennai, January 27: | Updated: Jan 28 2003, 05:30am hrs
Radaan Mediaworks (I) Ltd (Radaan) plans to raise Rs 21 crore through a public issue of 27.12 lakh shares priced at a premium of Rs 30 per share (face value Rs 10). Post-issue, the paid-up share capital will increase to Rs 11.15 crore from the present Rs 8.13 crore and the promoters stake will come down to 75 per cent from the current 100 per cent.

Radaan is a content provider for the television market. About 80 per cent of the funds raised will be used for financing long term working capital needs and to reduce high cost borrowing. The balance would be used to go national and upgrade the studio facilities.

The company shares will be listed in the National Stock Exchange and the Madras Stock Exchange.

The Bombay Stock Exchange has made observations regarding the valuation of the software library, promoter contribution and appraisal. The listing committee of the exchange has decided not to permit the use of the name of the exchange in the prospectus.