Reliance Jio set to acquire Hathway cables and Den Network: Mukesh Ambani

Mukesh Ambani may soon buy controlling stakes in two of India’s largest cable TV and broadband service providers, HathwayNSE 5.38 % Cable & Datacom and DEN NetworksNSE 0.67 %, as it seeks to ramp up coverage of its ambitious high-speed broadband network.

Key people with direct knowledge of the development said RIL is likely to own more than 25 percent each in the two companies giving it the ability to control developments and get a seat on the board. Promoter stakes in both firms are likely to drop as a result with the acquisition also triggering open offers, they added.

The deal is expected to be announced in the next few days. Both companies have told the stock exchanges that the respective boards are meeting on October 17 to discuss and approve a proposal for raising funds. Email queries sent to RIL, Reliance Jio, Hathway and DEN remained unanswered till press time Monday.

Hathway Cable and Datacom Ltd Chart on Daily Basis

Den Network Ltd Chart on Daily Basis

Fundamental View:-

                If we take a fundamental view then Hathway Cable and Datacom Ltd are good as compared to Den Network Ltd. Promoters shareholding also good in Hathway Cable and debt is decreasing year by year means it is in decreasing order its good sign. In 2018 the company made a profit of Rs. 77.66 (Cr) earlier it was in the loss, so it means financial figures are improving.

CONCLUSION:

You can buy but if you take a long-term view then it will give multiple returns.

Disclaimer:

The post is only for educational purposes.

 

Leave a Reply

Your email address will not be published. Required fields are marked *