The Union Cabinet today authorised the ministry of information and broadcasting to permit FM broadcasters to create new subsidiaries by mergers, de mergers or amalgamation of companies through a transfer of shares. However, this can be done while maintaining the foreign direct investment cap of 20 per cent.
A number of private FM operators, including Reliance ADAG’s Big FM are expected to benefit from the decision. The FM radio business of the company is currently under Adlabs films but it has been looking to transfer it to Reliance Unicom Ltd, sources said.
