High Court Approves
Merger of Richman Investrade, Melody Trading and Hinduja Telecom
with Hinduja Finance.
February 15, 2001
Hon'ble High Court of Bombay has approved the mergers of Richman
Investrade Private Ltd., Hinduja Telecom India Ltd. and Melody
Trading Private Ltd. with Hinduja Finance (HF) on the 14th
February, 2001, with effect from 31st August, 2000. These
mergers would lead to HF acquiring majority control in the
Hinduja Group's, media businesses (IndusInd Media & Communications
Ltd., Cable Video India Ltd., IndusInd Entertainment Ltd.)
and a significant stake in the group's telecom business (Fascel
Ltd.) IndusInd Media & Communications Ltd. (IMC), one of the
largest cable network companies in India, has over 4 million
cable subscribers in 12 cities. Intel has invested US $ 49.23
million in IMC for an effective equity stake of 3.3% giving
it a bench-mark valuation of US $ 1.5 billion.
Video India Ltd. operates the popular Hindi movie cable channel
(CVO) and has the largest Hindi movie library in the country
with over 1800 Hindi movies. The channel is today India's
premier Hindi movie cable channel and is one of the most widely
viewed cable channel with a coverage of 6 million households
in 108 centres across the country.
IndusInd Entertainment Ltd. (IEL) produces television content
and operates a bouquet of popular city specific cable television
channels under the umbrella 'IN' brand. The bouquet of IN
channels offers a unique local flavour in programming content
on a city specific basis. IN channel pioneered the concept
of interactive television in India with IN Mumbai. In addition
to the coverage of local events, the IN bouquet also airs
local news bulletins in various languages. The company has
rights to more than 15,000 hours of televison software relating
to serials, event coverages, talk shows, music programmes
and hundreds of hours of news coverage. IEL is the nucleus
around which HF is building its content capabilities.
Fascel Ltd. provides cellular telephony services in Gujarat
state and is the single largest state circle operator in India.
In addition, Richman Investrade merger will also make Hinduja
Finance the owner of World/Asian satellite rights for 260
The Internet business is already under Hinduja Finance through
its subsidiary In2cable.com India Ltd. Hinduja Finance holds
90% stake in In2Cable.com India Ltd. In2Cable offers broadband
internet services in 9 cities over cable and has plans to
expand its services at present to another 40 cities.
HF is holding an Extraordinary General Meeting of its shareholders
on 20th February, 2001, for the approval of the ESOP Scheme
for its Software Development Employees. The Board had already
approved the same in its meeting held on 20th October, 2000.
For more details please contact:
Ms. Nina Mamnani - Phone No. 4974824 (Direct) Mobile: 9820122699