U.S.-based private equity firm Blackstone Group on Wednesday said it will be investing Rs 225 crore in Jagran Prakashan (JPL), publisher of Hindi daily Dainik Jagran.
The private equity would make investment into Jagran Media Network Private, the holding company of media and communications group JPL.
Jagran Media Network will file for necessary approvals for the investment with the Foreign Investment Promotion Board on Wednesday, Blackstone Group said in a statement.
The announcement comes a month after U.K. daily Independent News & Media sold 7.8 per cent stake in Jagran Prakashan for Rs 260 crore through open market deals.
Commenting on the association with Blackstone Group, JPL Chairman and Managing Director Mahendra Mohan Gupta said their interest in sharing knowledge with the management and their understanding of the media industry will add value to JPL in many ways for the benefit of its shareholders.
“Our endeavour shall be to make the best use of their expertise and relationships in driving our top—most agenda of organic as well as inorganic growth and making all the stake holders happier,” Gupta said.
Dainik Jagran publishes 37 editions and more than 200 sub—editions across 11 states.
Blackstone Advisors India Private Ltd Chairman and Managing Director Akhil Gupta said print media in Indian languages is poised to experience significant growth in the coming years, driven by increasing personal consumption levels in the Tier II/III cities as well as rural India.
“Our experience in the media sector in India and globally will enable us to be value—added partners to management and strengthen the company’s leadership position,” he said.
Shares of JPL were trading at Rs 120.70, up by 3.55 per cent on the Bombay Stock Exchange during the afternoon trade. PTI DP AKH KM RHP 04071356