INDUSIND: 758 CR RIGHTS ISSUE
IndusInd Media & Communications Ltd (IMCL), a subsidiary of H i n d u j a Ventures Ltd, will raise Rs. 757.54 crore through a rights issue of 3.7 crore equity shares at a premium of Rs. 195 per share (face Value Rs. 10).
IMCL, which operates the cable TV business of the Hinduja Group, will use the new capital to redeem preference shares (Rs. 270 crore), repay Inter-Corporate Deposits (Rs. 350-400 crore) and spend on other corporate activities.
The repayment of ICDs include that provided by Grant Investrade Ltd, a wholly owned subsidiary of Hinduja Ventures.
The benchmark valuation of IMCL is set at Rs. 3,444.06 crore. Late last year, HVL sold 100,000 equity shares in IMCL at a price of Rs. 466 per share.
As reported earlier, the Hinduja Group has decided to house its cable TV & HITS businesses in a single entity - IMCL. The HITS business is being shifted from GIL to IMCL.
SONY PAYS ZEEL FOR TEN SPORTS
Sony has paid $330 million to Zee E n t e r t a i n m e n t Enterprises Ltd (ZEEL) for the entire stake in Taj India and transfer of major part of sports broadcasting business of Taj Mauritius. Sony Pictures Networks India has now added Ten 1, Ten 2, Ten 3, Ten 1 HD and Ten Golf HD. Sony now offers 9 sports channels including Sony Six, Sony ESPN, Sony Six HD and Sony ESPN HD.
The second phase of the transaction is expected to be concluded within the next few months, subject to certain conditions.
In August 2016, Sony had signed an agreement with ZEEL to buy the sports broadcasting business for $385 million (Rs. 2,578 crore).
ASIASAT 2016 RESULTS
Asia Satellite Telecommunications Holdings Limited (AsiaSat), has announced its results for the year ended 31 December 2016.
Revenues were down 3% to HK$1,272 million, mainly due to reduced short-term revenue from AsiaSat 3S which is drifting but providing some service in Asia.
Utilisation of AsiaSat 4, AsiaSat 5, AsiaSat 6 and AsiaSat 7 as of 31 December 2016, stood at 67% (99 transponders utilised).
AsiaSat 8's entire Ku-band payload fully leased at 4 degrees West.
AsiaSat 9, a replacement for AsiaSat 4 is planned for launch in late 2017.
SNAPDEAL TO EXIT DENSNAPDEAL
Jasper Infotech operated ecommerce platform Snapdeal is looking at exiting teleshopping business DEN-Snapdeal TV Shop by divesting its entire 17.13% stake in the company. DEN Networks holds the balance 82.87% stake.
A Snapdeal spokesperson said, "The decision to exit the DEN-Snapdeal JV was taken in early 2016 as part of our periodic evaluation to determine continued alignment of investments with our business needs. In execution of the decision, we had substantially reduced our stake mid-last year. The residual stake will be divested over the next few months to complete the process of exit."
In 2014, DEN Networks created a 50:50 joint-venture with Snapdeal to launch teleshopping channel DEN-Snapdeal TV Shop. In July 2016, Snapdeal sold part stake for Rs. 6 Crore, raising DEN's holding to 82.87%.
ZEE RESTRUCTURES DIGITAL BIZ
ZEE has created a g l o b a l d i g i t a l company - Z5X to house all its digital properties. Zee Entertainment Enterprises Ltd (ZEEL) has digital properties that include over-the-top (OTT) service dittoTV and advertising-led videoon- demand (VoD) platform OZEE.
Chamli Tennakoon has been appointed chief executive officer of the new organisation, in addition to his existing role of chief digital officer, Essel Group.
dittoTV business head Archana Anand is being made digital head of Z5X (India).
" Z 5 X ' s g l o b a l structure will help the company in leveraging d i g i t a l expertise in serving corporate clients to provide integrated solutions across a wide range of Zee products," according to ZEEL CEO of global business Amit Goenka.
DEN TO SEPARATE B'BAND BUSINESS
D e n Networks h a s r e c e i v e d shareholders' approval to separate its broadband business into a wholly owned subsidiary called Skynet Cable Network.
"The scheme of arrangement has been approved by members of the company," according to the regulatory filing by Den Networks.
The demerger is meant to achieve "structural & operational efficiency, enhance competitiveness & greater accountability, accelerate value creation & and allow focused attention in the ISP business."
DEN's ISP arm reported a turnover of Rs. 40.63 crore in FY 2015-16, accounting for a 3.53% share in the MSO's total revenue. However profit margins were significantly higher.
ATRIA FDI PROPOSAL APPROVED
The government has approved Atria's FDI proposal worth Rs. 35 crore, for transfer of 0.99% of shares currently held by resident shareholders to the existing foreign investors Argan (Mauritius), Mauritius and TA FVCI Investors Ltd, Mauritius.
With this, the private equity firms will take their holding in Atria up to 97%.
As reported earlier by TelevisionPost.com, US-based TA Associates and India Value Fund Advisors (IVFA) acquired 95% stake in Atria for investing $500 million, valuing the company at $526 million.
YOU TELECOM FDI APPROVED
The government has approved the FDI proposal of You Broadband India for acquisition of 9,79,875 equity shares of its downstream company Digital Outsourcing Private Ltd (DOPL) in lieu of issue of 20,58,759 equity shares to its resident shareholders by way of swap of shares. DOPL is engaged in cable TV services.
DEN BUYS 88.7% IN GURGAON SUBSIDIARY
DEN Networks has increased stake in its Gurgaonbased subsidiary, DEN Digital Cable Network (DDCN), through purchase of additional 37.57% stake DDCN, thus increasing its stake in the subsidiary company from 51% to 88.57%.
The additional stake was bought for Rs. 4.60 Core.
DDCN offers cable services in Gurgaon. Incorporated in February 2018, DDCN posted a turnover of Rs. 10.29 crore in FY16, marginally down from Rs. 10.98 crore a year ago.
DEN Networks is reducing the number of subsidiaries to provide a simpler structure by merging subsidaries and increasing stakes in its joint venture companies.
NEW CEO AT COMCAST
Comcast Cable - the world's largest MSO, and the cable TV arm of Comcast, will have a new CEO from April.
Dave Watson, the current COO, is being promoted to CEO of Comcast.
Watson will replace Neil Smit, who will become the parent company's vice chairman.
Watson has been with the company since 1991 and led product, sales, marketing, and advertising initiatives. He also helped to drive the transition from analog to IPTV, and the development of Comcast's broadband service
Said Comcast CEO Brian Roberts: "There are few people in the cable industry who have Watson's breadth and depth of experience." n