Shares of New Delhi Television Ltd advanced 5% and hit the upper circuit again on Monday even after the company denied the reported takeover. NDTV stock jumped 5% on Friday amid reports that SpiceJet’s Ajay Singh is set to take control of the media firm even as the company denied any such move. Later on Friday last week, NDTV said its shareholders have approved sale of its automobile e-commerce firm Fifth Gear Ventures Limited to Autobyte Private Limited.
NDTV shares rose as much as 5% to the day’s high of Rs 55.75 on BSE today and were locked in the upper circuit since morning. In a filing to the BSE, NDTV said: “We wish to inform you that the promoters of the company have not entered into any agreement for sale of their stake in the company to any Person”. “The company is mindful of its obligations under clause 30 of the listing regulations and shall promptly intimate you of any event required which is required to be disclosed under the said regulations,” NDTV added.
NDTV had sought approval for “subscription of equity shares by Autobyte Private Limited in Fifth Gear Ventures Limited resulting in change of control of Fifth Gear Ventures Limited from New Delhi Television Limited and NDTV Convergence Limited to Autobyte Private Limited,” NDTV said in a filing to the BSE. Earlier on Friday last week following the takeover buzz, shares of the company rose by 4.94% to Rs 53.1 — its upper circuit limit — on BSE. SpiceJet stock, however, fell by 1.51% to close the day at Rs 143.35 on BSE. In the intraday trade, it lost 2.67% to Rs 141.65.
When contacted, a SpiceJet spokesperson said the reports are “absolutely false and baseless,” PTI reported. Ajay Singh, the co-founder and chairman of SpiceJet, has been instrumental in turning around the fortunes of the no-frills airline.