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Hinduja Ventures gains after subsidiary gets licence for digital TV services

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Last Updated : Sep 09 2015 | 10:28 AM IST

Hinduja Ventures rose 2.77% to Rs 375.30 at 10:00 IST on BSE after the company said its subsidiary, Grant Investrade, bagged the operating licence for the Headend-in-the-Sky digital television services from the government.

The announcement was made after market hours yesterday, 8 September 2015.

Meanwhile, the BSE Sensex was up 308.50 points, or 1.22%, to 25,626.37.

On BSE, so far 791 shares were traded in the counter, compared with an average volume of 2,394 shares in the past one quarter.

The stock hit a high of Rs 378 and a low of Rs 371.20 so far during the day. The stock hit a 52-week high of Rs 534.60 on 15 April 2015. The stock hit a 52-week low of Rs 281 on 26 September 2014.

The stock had underperformed the market over the past one month till 8 September 2015, falling 16.39% compared with 10.34% fall in the Sensex. The scrip had also underperformed the market in past one quarter, falling 9.20% as against Sensex's 4.54% decline.

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The small-cap company has an equity capital of Rs 20.56 crore. Face value per share is Rs 10.

The Wireless Planning & Coordination Wing of the Ministry of Information & Communications Technology has issued the Wireless Operating License (WOL) to Grant Investrade, a subsidiary of Hinduja Ventures, for their HITS (Headend-in-the-Sky) services. The WOL is the final regulatory step before making HITS operational, in accordance with the terms & conditions stipulated in the Letter of Intent issued by the Ministry of Information & Broadcasting to GIL last year, Hinduja Ventures said in a statement.

It may be recalled that the government recently ruled out the extension of the Digital Addressable Cable TV Systems (DAS) phase III deadline of 31 December 2015, therefore, NXT DIGITAL is being viewed as the enabler for the cable fraternity to go digital as per government mandated standards and within the deadline. By signing up for the NXT DIGITAL service, an operator can be saved the burden of having to make huge investments in the technology and highly skilled manpower required to convert analog households to digital, the company said.

According to media reports, HITS is a mode of delivering channels through a satellite multiplex service that enables customers to pick and choose channels.

Net profit of Hinduja Ventures rose 7.95% to Rs 23.90 crore in Q1 June 2015 over Q1 June 2014. There were no sales reported in Q1 June 2015 and in Q1 June 2014.

Hinduja Ventures is the holding company of one of India's largest integrated media companies i.e. IndusInd Media & Communications, which is gearing up to meet the requirements for the Phase III & IV digitalization programme of the Government of India. While it has stabilized operations in the Phase I & II digitalization areas, the next significant growth will be through expansion in the Phase III & IV markets. With its expansion plan in place, the company is looking at a significant growth in its customer base in the current year.

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First Published: Sep 09 2015 | 10:03 AM IST

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