| 20 Jul 2024
Second day of FM Phase III shows increase of over Rs 100 crore in provisional winning price against reserve price

NEW DELHI: The second day of the e-auction for FM Radio channels in Phase III infused new enthusiasm, though there were no bids in as many as fourteen cities, and the provisional winning price was lower than the Clock round Price in some cases.

In all, eight rounds of e-auction have been completed, including four today, for 135 FM channels in all the existing 69 cities of the first stage.

At the close of the second day of bidding, 79 channels in 55 cities became provisionally winning channels with cumulative provisional winning price of around Rs 479 crore, against their aggregate reserve price of about Rs 377 Crore.

The auction began today with Auction Activity Requirement set at 80 per cent. A total of 26 bidders were allowed to participate in the auction.

The demand over the price in many cities fell by up to three per cent below the aggregate demand.
The Percentage Price Increment (in INR) applicable for the Next Clock Round was five in the metros of Mumbai and Chennai, and in Bhubaneswar, Bengaluru, Ahmedabad, Guwahati, Rourkela, Jodhpur, and Pune and went up to eight per cent in Delhi.

The highest Provisional winning price – the same as the Clock round price at the end of the eighth round – was in Mumbai – Rs 55,43,79,061; followed by Delhi – Rs 48,10,99,208 with both showing sizeable increase compared to the first day; Hyderabad - Rs 18,00,00,000; and Lucknow - Rs 14,00,55,000.

Among cities recording more than Rs 10 crore, it rose sizeably in Bengaluru - Rs 30,39,33,689; and marginally in Chennai - Rs 17,26,51,219; Pune - Rs 19,70,71,446; Ahmedabad Rs 16,89,29,439 and Cochin – Rs 10,21,81,689 (marginally lower than the clock round price), but fell just marginally in Chandigarh - Rs 15,61,00,590.

The ongoing auction is a Simultaneous Multiple Round Ascending (SMRA) e-auction which is being conducted online from Auction Control Room No. 404 B Wing, Shastri Bhawan.