NCLAT Upholds Sapphire Media’s Acquisition of Big 92.7 FM

In a significant legal development, the National Company Law Appellate Tribunal (NCLAT) on Monday, December 23, 2024, upheld the National Company Law Tribunal’s (NCLT) order, which approved Sapphire Media’s resolution plan for Reliance Broadcast Network Ltd (RBNL), the company behind the popular Big 92.7 FM radio network. 

The NCLAT dismissed the appeals filed by the unsuccessful bidders, Abhijit Realtors & Infraventure and Creative Channel Advertising & Marketing, who had challenged the resolution plan citing irregularities in the process.

The Legal Process and Appeals

As per IANS reports, the NCLT Mumbai Bench had first approved Sapphire Media’s bid on May 6, 2024, after the Corporate Insolvency Resolution Process (CIRP) was initiated for RBNL on February 24, 2023, following a request by IDBI Trusteeship Services, one of the financial creditors of the company.

Sapphire Media’s bid of ₹104.28 crore was chosen after a competitive bidding process, where a total of 6 resolution plans were submitted. The Committee of Creditors (CoC) had set a base price of ₹240 crore as part of the Request for Resolution Plan (RFRP).

The appellants, who had submitted lower bids—₹80.20 crore by Abhijit Realtors and Infraventure and ₹100 crore by Creative Channel Advertising and Marketing—raised concerns about the process followed by the resolution professional. However, these claims were dismissed by the NCLAT, which found no grounds to intervene with the NCLT’s decision.

Impact of NCLAT’s Decision

The NCLAT’s ruling is a major victory for Sapphire Media, reinforcing its position in the Indian media landscape. By acquiring Reliance Broadcast’s FM radio network, which operates under the Big 92.7 FM brand and has a reach across over 1,200 towns and 50,000 villages, Sapphire Media expands its footprint significantly. 

This acquisition aligns with Sapphire Media’s broader strategy to strengthen its presence in the media industry, particularly in radio broadcasting.

Sapphire Media’s Expanding Presence

Sapphire Media, led by Aditya Vashistha and Sahil Mangla, operates India Daily, a national Hindi news channel, and has a strong presence in India’s outdoor advertising sector. The acquisition significantly strengthens its position in India’s competitive media market. 

This strategic acquisition will not only extend Sapphire’s reach but also diversify its business strategy by tapping into new revenue streams and audience segments. By integrating Big 92.7 FM, Sapphire Media enhances its competitive edge and is well-positioned to become a dominant player in India’s rapidly evolving media industry.

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