>DB Corp Ltd: IPO NOTE (HDFC SECURITIES)

Background & Operations: DB Corp Ltd is one of the leading print media companies in India, publishing 7 newspapers, 48 newspaper editions and 128 sub-editions in three languages (Hindi, Gujarati and English) in 11 states in India. Its flagship newspapers, Dainik Bhaskar, Divya Bhaskar and Saurashtra Samachar, has a combined average daily readership of 15.5 million readers, making it one of the most widely read newspaper groups in India

Daink Bhaskar with a total average daily readership of 11.7 million readers is a widely read newspaper in Madhya Pradesh, Chattisgarh, Rajasthan, Haryana, Punjab, and Chandigarh. Divya Bhaskar is the number one Gujarati daily newspaper in terms of circulation in Gujarat. DBCL’s other newspapers are Business Bhaskar, DB Gold and DB Star and, on a franchisee basis, DNA. It is one of the fastest growing major newspaper groups in India with a growth in readership of more than 5.0% from 2003 to 2009 (with a combined readership of 15.5 million readers) In addition to newspapers, it publishes 5 periodicals, namely, Aha Zindagi, a monthly magazine published in Hindi and Gujarati, Bal Bhaskar, a Hindi magazine for children, Young Bhaskar, a children’s magazine in English and Lakshya, a career magazine in Hindi.

DBCL produces print products at 31 facilities spread across 31 cities with a total installed capacity of approximately 1.94 million copies per hour. In addition to its newspaper and publication businesses, it operates an FM radio business under the brand name MY FM through its subsidiary, Synergy Media Entertainment (SMEL) Through SMEL; it operates 17 FM radio stations. Through I Media Corp Limited (IMCL), DBCL also operate Internet portals, which contain editorial content from the daily editions of its newspapers in the form of e-papers and SMS portals.

Objects of Issue:
The objects of the Issue are:
• Setting up new publishing units
• Upgrading existing plant and machinery
• Enhancing brand image through sales and marketing
• Reducing existing working capital loans
• Prepaying existing term loans
• General corporate purposes

To read the full report: DBCL