wordpress blog stats
Connect with us

Hi, what are you looking for?

Infibeam raises Rs 40 crore from Network18

Infibeam has raised Rs 40 crores from Network18, the Reliance Industries owned media group, in what has been called a strategic investment. In a filing with the BSE, Infibeam has said that TV18 Broadcast Limited is subscribing to 21,45,002 fully convertible warrants (one Equity Share per warrant) at an aggregate consideration not exceeding Rs 40 Crore, on preferential issue basis at a conversion Price of Rs. 186.48/- per Equity Share (including premium). According to a notice to the BSE, post the conversion, Network18 would hold 0.32% of Infibeam.

Why this deal?

The deal, structured and executed by Capital18, will lead to Infibeam integrating “multiple platforms of Network18 Group assets to build large customer base with its differentiated offerings”. It also says, vaguely, that “Infibeam’s offerings are targeted towards both businesses and direct consumers, and hence Network18 group’s assets, which have a strong presence across relevant audiences are a perfect fit to propel the next leg of growth for the company.” A notice to the BSE says that “The object(s) of the issue is to augment the resources for Brand Building, Advertisements, M&A Activity, General Corporate Purposes of the Company and for any other purpose as permitted under applicable laws.”

Thus, there’s no clear indication of why Infibeam raised money from Network18, and why Network18 invested in Infibeam. Any guesses?

Remember that the Network18 group used to have an ecommerce business in Homeshop18, and Infibeam is probably more of an ecommerce platform business than one that competes directly with the likes of Flipkart or Amazon. Homeshop18 was a lost opportunity for the Network18 group – it was a company heading to an IPO until the acquisition of Network18 by Reliance Industries scuttled those plans. Homeshop18 then shut down its internet business, and eventually merged with STAR CJ.

Advertisement. Scroll to continue reading.
Written By

Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

A viewpoint on why the regulation of cryptocurrencies and crypto exchnages under 2019's E-Commerce Rules puts it in a 'grey area'

News

India's IT Rules mandate a GAC to address user 'grievances' , but is re-instatement of content removed by a platform a power it should...

News

There is a need for reconceptualizing personal, non-personal data and the concept of privacy itself for regulators to effectively protect data

News

Existing consumer protection regulations are not sufficient to cover the extent of protection that a crypto-investor would require.

News

The Delhi High Court should quash the government's order to block Tanul Thakur's website in light of the Shreya Singhal verdict by the Supreme...

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ