The board of directors of HT Media Limited at its meeting held on July 28, 2020, has approved investment in Mosaic Media Ventures Private Limited.
Mosaic is engaged in the business of operating news platforms (viz. VCCircle and TechCircle), providing subscription-based research databases (viz. VCCEdge and SalesEdge) as well as in events' business.
Mosaic had a turnover of Rs 14.5 crore in FY20. This is an increase of 26 per cent CAGR from Rs 9.1 crore in FY18
The board has approved to invest up to Rs 6 crore post-working capital adjustment and revenue linked milestones payment up to Rs 1 crore on a deferred basis, to acquire 100 per cent of paid-up share capital of Mosaic held by NWS Digital Asia PTE Limited and News Corporation, subject to finalisation of definitive agreements.
This strategic acquisition could provide synergies across businesses. Several of the synergetic benefits listed in the press release include:
1.News business: Acquire and scale VCCircle and TechCircle to augment Mint’s tech and deals content editorial capabilities
2.Event business: Use HT’s reach to augment VCCircle’s events business
3.Scale-up database and research business
4.Unlock cost and revenue synergies.
The stock closed at 12.30, up by 2.24 per cent or Rs 0.27 per share. The intraday high is Rs 12.50 and the intraday low is Rs 11.77. Since the beginning of the year, the stock has given a return of -14.70 per cent.