NDTV to acquire GoodTimes channel via slump sale from LMBL in ₹18 crore deal
The GoodTimes Channel operates in the broadcasting and programming sector with a focus on lifestyle-oriented content, including entertainment, fashion, food and travel.
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New Delhi Television Limited (NDTV) has announced that its Board of Directors has approved the acquisition of the GoodTimes Channel from Lifestyle & Media Broadcasting Limited (LMBL).
The transaction will be executed through a slump sale on a going concern basis. NDTV and LMBL have signed a binding Term Sheet outlining the agreed terms of the acquisition, and the deal will be consummated through the execution of a Business Transfer Agreement along with other ancillary documents. The acquisition remains subject to customary conditions precedent, which include obtaining requisite corporate and regulatory approvals, particularly from the Ministry of Information and Broadcasting, Government of India.
Since Lifestyle & Media Broadcasting Limited is a joint venture of NDTV, the acquisition qualifies as a related party transaction. However, the company has clarified that the deal is being carried out on an arm’s length basis, supported by an independent valuation report prepared by a registered valuer. NDTV further stated that its promoters, promoter group and group companies do not hold any interest in LMBL other than indirect shareholding, if any.
The GoodTimes Channel operates in the broadcasting and programming sector with a focus on lifestyle-oriented content, including entertainment, fashion, food and travel. NDTV explained that this acquisition will strengthen its strategic positioning in the broadcasting industry, diversify and expand its operational capabilities and enhance long-term stakeholder value.
The transfer of the channel license associated with GoodTimes will require regulatory approval from the Ministry of Information and Broadcasting, and the company expects the transaction to be completed within approximately three months, subject to the receipt of such approvals and fulfilment of the prescribed conditions.
The acquisition will be settled through a combination of cash consideration and television advertising inventory. The cost of acquisition is set at up to ₹18 crore on a cash-free, debt-free basis, with adjustments to be made in accordance with the terms specified in the Term Sheet. As the acquisition pertains to a business undertaking and not a separate legal entity, the question of shareholding or shares acquired does not arise.
NDTV underlined that the move is in line with its long-term growth strategy and represents a significant step in strengthening its presence in the lifestyle broadcasting space.
