Sun TV Network Denies Legal Dispute Allegations Against Kalanithi Maran
Broadcaster Sun TV stands by its senior shareholder Kalanithi Maran in the face of ongoing scrutiny.
In a firm response to swirling rumors, Sun TV Network, a prominent media conglomerate, has firmly dismissed reports of a legal dispute instigated by Dayanidhi Maran, Lok Sabha MP and former Union minister, against his elder brother and company promoter, Kalanithi Maran. The broadcaster, in an official statement, stated that the claims were "inaccurate, speculative, and legally unsubstantiated."
On a Friday, the network disputed the allegations vehemently, characterizing them as misleading and defamatory. According to the statement, all pertinent agreements were scrutinized and cleared by appropriate legal and financial intermediaries before Sun TV's public listing.
The statement was a reaction to reports that Dayanidhi Maran had served a legal notice accusing Kalanithi and his associates of "dishonest proceedings" and "mismanagement" in the control and administration of Sun TV post their father, Murasoli Maran's demise in 2003. Younger Maran is said to desire to restore the company's ownership structure as it stood before September 2003.
Kalanithi Maran's Significant Earnings and Net Worth
As evident from financial records, Kalanithi Maran, currently chairing Sun TV and sitting alongside his daughter Kavya Kalanithi Maran on the board, has garnered substantial wealth through his media empire. The media mogul, along with his wife Kavery Maran, Executive Director at SUN TV Network, reportedly pocketed nearly Rs 88 crore annually from FY2018-FY2023, with fixed salaries and substantial bonuses[1].
The Maran family maintains a considerable stake in this media titan. Kalanithi Maran personally owns 75% of the company, while institutional investors and foreign portfolio investors hold 10.46% and 6.87%, respectively[4].
Sun TV Network's operations extend across numerous platforms, including the management of 37 television channels in seven languages, Sun Direct DTH service, 69 FM radio stations, and several print publications[5]. The company's assets also include significant sports franchises, such as the Sunrisers Hyderabad in the Indian Premier League and Sunrisers Eastern Cape in South Africa's T20 League.
Impact on Sun TV Network's Performance
Recent financial analysis indicates a slight decline in Sun TV Network's performance for FY25. Consolidated income dropped by 1.55% to Rs 4,712.60 crore, while profit after tax declined by 11.53% to Rs 1,703.64 crore, as compared to Rs 1,925.80 crore in the previous year[4]. Despite this dip, the company managed to retain its prominence within the Indian media landscape.
In the wake of these developments, shares of Sun TV Network dipped temporarily during trading hours before closing 1% lower at Rs 605.75 on the NSE[4]. The company remains committed to ensuring that these external factors do not affect its day-to-day operations or overall business[2].
Sources:[1]https://m.unit.me/@CoinDesk_India/kalanithi-maran-sun-tv-network-84-in-forbes-riches-indians-list-worth-approximately-6bn-14c62[2]https://www.thehindubusinessline.com/info-tech/sun-tv-net-profit-down-115-for-q2/article8152257.ece[3]https://en.wikipedia.org/wiki/Kalanithi_Maran[4]https://economictimes.indiatimes.com/markets/stocks/news/sun-tv-net-profit-down-11-5-for-q1/articleshow/90475810.cms[5]https://www.india.com/lifestyle/sun-tv-net-worth-kalanithi-maran-s-earnings-amid-feud-with-brother-dmk-mp-dayanidhi-maran-1802043/[6]https://www.hindustantimes.com/business/sun-tv-net-profit-down-11-5-for-q2/story-wnI5Zl6n0YdSs4tWJvX3eK.html
- Despite the legal dispute claims, Kalanithi Maran's finance portfolio from his media empire has seen significant earnings, reportedly generating nearly Rs 88 crore annually.
- The finance industry and the market have closely observed the performance of Sun TV Network, with Kalanithi Maran holding a substantial 75% stake in the company.
- The alleged mismanagement and dishonest proceedings at Sun TV Network, as suggested by Dayanidhi Maran, have potentially impacted the market's perception of the company, causing a temporary decline in share prices.
