The company plans
to put in Rs 350 million towards acquisitions and other strategic initiatives
in the media and allied sector. TV18's growth plan involves expanding its product
and service offerings, both organically and through strategic acquisitions.
further Rs 750 million will be used towards general corporate purposes to drive
its business growth. Since Rs 250 million has been earmarked towards the issue
expenses, TV18 will be left with net proceeds of Rs 4.85 billion from its rights
the English business magazine project, group company digital18 Media Private Ltd
has entered into a license agreement with Forbes Media LLC (dated 24 October 2008).
Additionally, the company is seeking to enter into a separate 50:50 joint venture
agreement with Forbes to operate an India specific business website using the
Forbes brand name and content. The investments may include subscribing to share
capital in entities operating the Forbes related business ventures, including
digital18, capital expenditures, if any, and payment of royalties to Forbes.
will not use proceeds from the rights issue for meeting its working capital requirements.