NXTDIGITAL CHARTS COURSE TO FUEL EXPANSION PLANS
NXTDIGITAL CHARTS COURSE TO FUEL EXPANSION PLANS; BOARD ACCORDS IN-PRINCIPLE APPROVAL FOR ITS DIGITAL AND MEDIA BUSINESSES TO BE ACQUIRED BY HINDUJA GLOBAL SOLUTIONS
§ NXTDIGITAL Limited (NDL) Board accords in-principle approval for its digital and media businesses comprising broadband, HITS, digital cable television, content syndication & teleshopping to be acquired by Hinduja Global Solutions Limited (HGSL).
§ The move will fuel and accelerate NDL’s planned expansion across the digital ecosystem through optimal synergies with HGS’ strength in digital processing and back-end expertise. NDL will focus on harnessing the best of emerging technologies, whilst expanding its portfolio of digital solutions across geographies.
§ Proposed acquisition will include the management team, employees, all businesses and technology across the entire media, communications and broadband spectrum.
§ Acquisition is subject to statutory and regulatory approvals and approvals of shareholders.
§ Proposed acquisition will result in shareholders of NDL receiving shares of HGS as per an independent share swap valuation, subject to applicable regulatory approvals.
With a focus on growth, the Board of Directors of NXTDIGITAL Limited (NDL) at its meeting today, accorded an in-principle approval for its expansive digital and media businesses to be acquired by Hinduja Global Solutions Limited (HGSL), subject to all statutory or regulatory approvals and approval of the shareholders.
NDL, which has been strengthening its leadership position through innovative solutions and advanced technology has planned significant expansion in the emerging digital solutions space. This move will provide much needed synergies, by leveraging the inherent expertise of HGS in the digital back-office and processes space, while allowing the media business to focus on digital expansion. This is in line with NDL’s vision and mission of being a significant digital platforms company, harnessing the best of emerging technologies, whilst expanding its portfolio of digital solutions across geographies.
The proposed acquisition will result in shareholders of NDL receiving shares of HGS as per share swap valuation and shall be subject to all applicable regulatory approvals. The Company will appoint independent valuers to carry out the valuation exercise and submit the report including share exchange ratio; besides also appointing other key intermediaries to facilitate the proposed move.
NDL is India’s premier integrated digital platforms company and has a presence in over 4,500 pin codes across India through a network of around 10,000 franchisees as well as over 50 owned-and-operated NXTHUBs - which besides television, broadband and OTT, are future-ready to offer emerging services like WIFI. It’s broadband business is spread across a network of more than 45 cities, delivering high-speed internet and other services to both, the retail and enterprise segment. The company is considered a leader in digital content distribution and technology and has recently rolled out its combo product, comprising up to 700 digital television channels plus 300,000 hours of content on leading OTT platforms and access to broadband, with speeds up to 1,000Mbps. It is also the only platform to receive permission for sharing its HITS infrastructure with other Multi-System Operators (MSOs).
NDL has in place a long-term vision for shareholder value-creation, reinforced by an experienced & dynamic management and a strong corporate governance framework. Post this proposed acquisition of the digital business, which will be subject to regulatory and other approvals, various opportunities will be reviewed to define new business verticals for the future.