The digital news media company, Quint Digital, has announced an acquisition proposal of a 100% stake in Quintillion Media. In addition, it has also acquired a 47.92% stake in Spunklane Media.
If this agreement is closed, the digital news media firm will be responsible for the authorised stakes of Quintillions business media operations, digital offerings, Quintype Technologies and YKA Media.
The business deal is at a total consideration of Rs 24.5 crores, subject to necessary closing adjustments. The compensation will be discharged by Quint Digital on a negotiated basis.
5% of funds will be shared on closing the deal, whereas the remaining 95% will be shared within 12 months, after the deal is secured.
A legal nod has been received from the board of directors, subject to customary closing upon conditions and approvals.
The proposed acquisition is a related party transaction and is subject to the approval of the shareholders under the applicable provisions of the Companies Act, 2013 and SEBI Listing Regulations, to name a few.
Ritu Kapur, co-promoter and CEO, Quint Digital, said, "The proposed acquisition of stakes in QBM, SMP and YKA will give Quint Digital the double edge advantage of synergising across news platforms as well as diversifying across demographics and geographies, bringing a larger community of readers/viewers into our fold. QBM’s acquisition will add the most valuable learnings in running a successful premium subscription platform as the world gets ready for the rapid growth of reader revenues. The expansion of audiences across various websites and new-age social media platforms makes us the way and away from the largest pure-play digital news/information group in the country. It will close to double our group revenue base, giving us size and clout in the new digital media space.
She added, "QTIPL brings to us cutting edge capabilities in media tech, which is a critical strength in today’s burgeoning growth in digital content.”