Bombay HC rejects Wavelength Ent’s plea against Next Mediaworks’ subsidiary
MUMBAI: The Bombay High Court has refused to grant any relief to Wavelength Entertainment (formerly Big Magic) and rejected its petition against Next Radio Ltd (NRL) seeking injunction on the termination of the non-binding term sheet by NRL.
On 29 October 2015, NRL had entered into a non-binding term sheet to de-merge and transfer its Ahmedabad FM radio station to Big Magic through a special purpose vehicle (SPV) Syngience Broadcast Ahmedabad Limited (SBAL), which is a wholly owned subsidiary of NRL.
However, NRL did not receive the approval from the ministry of information and broadcasting (MIB) over demerging and transferring the Ahmedabad FM Radio Station to SBAL.
Subsequently, NRL terminated the non-binding term sheet with Big Magic and withdrew the application dated 8th December, 2017.
Wavelength Entertainment filed an arbitration petition u/s 9 of the Arbitration and Conciliation Act, 1996 before the Bombay High Court on 1st April, 2019 against NRL and SBAL seeking, inter alia, injunction on the termination of the non-binding Term Sheet referred to above.
After hearing the said petition on April 3, 2019, the Court has by its order of April 5, 2019, refused to grant any reliefs to Wavelength and rejected the petition, Next Mediaworks, the parent company of NRL, said in a filing to the BSE.