Company will use money to strengthen subsidies
MUMBAI — Sun TV, one of India’s leading Tamil-language channels, hopes to raise more than 6 billion rupees ($13.4 million) by divesting 10% of its stock in an initial public offering between April 3-7.
The channel is owned by Kalanidhi Maran, brother of India’s minister for communications and information technology Dayanidhi Maran. The IPO will reduce his holding to 89.99%
The company will use the money to strengthen subsidies, launch more channels and set up a corporate office.
Kotak Mahindra Capital Company and DSP Merrill Lynch are lead managers.
Sun TV is part of the Sun Network that runs 14 regional-language TV channels, including four Tamil channels and two Malayalam channels. It also has four FM radio stations, two daily newspapers and four magazines.