Dish TV shareholders reject Veerender Gupta’s appointment

The direct-to-home (DTH) service provider, Dish TV convened its annual general meeting on September 25, 2023 with a focus to secure shareholders’ consent on two matters — appointment of SN Dhawan & Co as statutory auditor and nomination of Veerender Gupta as a Whole Time Director.

Dish TV received a green signal from shareholders for the appointment of the statutory auditor but shareholders decided against the appointment of Gupta as Whole Time Director.

The AGM also witnessed the culmination of Rashmi Aggarwal’s tenure as an Independent Director of the company. Her departure follows earlier efforts by majority lenders to oust her, alongside another Essel Group-affiliated director, Shankar Aggarwal, from the board.

The move, initiated in a letter dated May 15, 2023, urged the board to facilitate the appointment of lender-nominated directors, reflecting the evolving dynamics within Dish TV’s governance.

Dish TV has recently been under the spotlight for multiple reasons. The Bombay High Court rejected a plea by Dish TV’s promoter entity World Crest Advisors that sought to prevent Yes Bank and JC Flowers Asset Reconstruction from transferring or encumbering Dish TV shares.

The legal tussle revolves around the ownership of over 44 crore shares of Dish TV, with Yes Bank asserting its claim as the rightful owner due to loans extended to certain promoters. The battle exemplifies the complex challenges facing Dish TV as it navigates corporate governance issues and financial disputes.

On the financial front, Dish TV reported a 15 percent increase in its consolidated net profit to Rs 20.5 crore for the quarter ending June 2023. However, revenue exhibited a contrasting trend, declining by 18 percent to Rs 500 crore during the same period.

In the stock market, Dish TV shares have gained a percent this year (year-to-date). Importantly, the stock has soared more than 45 percent from its 52-week low of Rs 12.40 per share, recorded in March. The stock currently stands at approximately Rs 19 per share, 26 percent below its 52-week high of Rs 24.40 in December 2022. CNBC TV18