MUMBAI: Sameer Manchanda-promoted Den Networks has a cash balance of Rs 2.5 billion and plans to invest Rs 900 million towards digitisation this fiscal, according to a senior executive of the company.
The multi-system operator (MSO), which had raised Rs 3.7 billion via an initial public offering (IPO) in November 2009, has chalked out an investment plan of Rs 1.5 billion in FY’11.
“We have a cash balance of Rs 2.5 billion and plan to invest Rs 1.5 billion this fiscal. Digitisation should take away 60 per cent of this,” says Den Networks president – strategy and business development M G Azhar.
Will the company be aggressive in acquisitions this year? “We have done acquisitions in the past and grown in size. Some of these acquisitions require to be completed. We will be doing that this fiscal,” says Azhar.
Den is in course to reach its revenue target of Rs 11.50 billion this fiscal as it consolidates its subsidiaries, thus posting a 25 per cent jump over the earlier year.
Den has passed an enabling resolution to raise fresh capital up to Rs 7.5 billion, via a mix of quasi equity/debt instrument, as it expects digitisation to drive consolidation in the cable TV sector.
