GBN may buy Jagran stake in IBN 7

Global Broadcast News (GBN), the Network 18 group company which runs CNN IBN, is all set to buy out Jagran TV's stake in the Hindi news channel IBN 7.

Jagran Prakashan owns roughly 41 per cent stake in the holding company, BK Fincap. The remaining is held by GBN, which picked up a 49 per cent stake in IBN 7 (formerly Channel 7) almost two years ago. The size of the deal, to be announced shortly, is not known.

However, IBN 7 is valued at Rs 200 crore as GBN yesterday announced its plans to buy the Mauritius-based PE fund's 10.01 per cent stake in Jagran TV for Rs 20 crore.

Haresh Chawla, CEO, Network 18, refused to comment on the deal. Jagran Prakashan CEO Sanjay Gupta, however, said that the talks with GBN were in a preliminary stage.

"We are not hands-on managers in the news channels business in any case. We are just investors in that sense and could cash out whenever we wish to," he said.