As reported, Essel Group chairman Subhash Chandra had a different viewpoint on it as he had said in his letter to the lenders that the acquisition of Videocon d2h by Dish TV was a bad business decision. Geol explained that he is not offering any different point of view than Subhash Chandra and said that the merger of d2h business into Dish TV has worked out well. However, the open offer has caused financial stress to the promoters.
Goel said: “Videocon d2h has been a great strategic fit and its merger with Dish TV has provided immense growth opportunities to the company with significant potential to unlock going forward.”
He added: “There are two parts of this Videocon merger. One is the merger of the business into the company. So that is a very good opportunity, we are proud to have that and the combined synergy is very good. But part 2 is when we made an open offer as a promoter that gave us stress that we have to pledge our shares and all these things and take the additional financial burden on the promoter’s side books, not in the company.
He further stated that 82% shares of the promoter shares in Dish TV are pledged. The promoter shareholding currently stands at 59.1%.