Big FM, the Reliance Adag group FM radio operator that recently received permissions to demerge from parent Adlabs Ltd, will be listed as a separate company under Reliance Unicom, Business Standard reports. Two days ago, Adlabs said it has received permissions from the ministry of information and broadcasting to demerge the radio business. The 45 FM radio license held by Adlabs will be transferred to Reliance Unicom, which will become the second listed radio operator after Entertainment Network India Ltd (Radio Mirchi). Shareholders of Adlabs will receive one share of Reliance Unicom for every share held in Adlabs.
“The idea is to unlock value for the shareholder. There is nothing more we can say at this stage,” Big FM COO Tarun Katiyal told contentSutra. The government is expected to soon finalize the third phase of FM radio license auctions. Some 600 licenses will be up for grabs in a move that will significantly widen the FM radio footprint in the country.