Chapter I is the publication of a review article. The review highlights the significance of the act of noncoding RNA transcription on DNA biology. The act of transcription regulates neighboring gene expression and DNA processing events by distinct mechanisms (Figure I). Several examples across eukaryotes connect the regulation of genes by noncoding transcription and environmental sensing. Chapter II documents the main project of this thesis in the form of a manuscript. The study reports the role of Saccharomyces cerevisiae Hda1 complex (Hda1C) in the repression of divergent noncoding transcription. The Hda1C affects the acetylation state of histones and transcription initiation frequency at divergent noncoding regions. The changes in chromatin state and transcription frequency limits divergent noncoding transcription. Chapter III includes the work aimed at the functional dissection of SUT176, a long noncoding RNA (lncRNA) in S. cerevisiae. Loss of the SUT176 genomic region severely impairs the growth and fitness of yeast cells. The lncRNA region appears to have a role in the normal utilization and hydrolysis of fermentable carbon sources by the yeast cells. Chapter IV summarizes the results from selected projects performed during the PhD study. It includes the finding of potential candidates repressing the divergent noncoding transcription, suppressor candidates of snf5Δ effect in yeast cells. The appendix includes engineering of yeast strains for single-molecule studies, validation of the NET-seq protocol, supplementary tables and Materials & Methods used in the study. Overall, the data and results presented in this thesis provide new insights into the implication of noncoding transcription. The study identified novel regulators of divergent noncoding transcription and the association of a noncoding transcript region with the growth and fitness of cells. Elucidation of molecular mechanisms involved in the regulation and functional dissection of noncoding transcription helps in understanding the biological significance of the widespread phenomenon conserved in the genome of eukaryotes.