1st February 2005: The board of directors of Hinduja TMT (HTMT) has given an in-principle approval to the managementís proposal of demerging the companyís media business into a separate listed entity. It has authorized a Committee of Directors to work out a detailed scheme in this regard. The proposal presented by the management envisages two debt free listed companies with mirror image shareholding as under:
- Information Technology businesses, IT subsidiaries and the main financial investments such as in Fascel Ltd, the investments as the part of the technology company.
- Media (Film Content, Cable TV distribution network) and Broadband (High speed internet & related value added services) as the part of the new entity.
The Board also authorized the management to appoint necessary consultants for formulating the scheme and fulfilling statutory compliance etc. and directed it to submit its final recommendation along with the structure of the scheme at the earliest.