Blame it on the falling stock markets and the impending slowdown. Leading media group Television Eighteen (TV18) India Ltd has abandoned its plans to start a broking business in joint venture with Ambit Corporate Finance and Centurion Bank of Punjab.
TV18 on Tuesday informed Bombay Stock Exchange that “based on the evaluation of the relative risks and strengths of securities broking business in the prevailing market conditions and based on discussions with the joint venture partners”, the group has decided to exit the joint venture agreement for a broking business.
In December 2006, Web18 Holdings Ltd (Cayman Islands), Ambit Corporate Finance and erstwhile Centurion Bank of Punjab had entered a 40:40:20 joint venture for securities broking business.
What may have also caused the scrapping of the JV could be the buyout of Centurion Bank of Punjab by HDFC Bank earlier this year. HDFC Bank already has a broking business through HDFC Securities.