Dish TV has sold a 4.9% stake to a private equity group, and expects more finance-raising soon.
Indivision Capital bought the 4.9% stake for Rs2.5 billion, valuing the DTH operator at Rs42 billion. With Dish TV aiming to invest Rs11 billion over the next two years as competition in the Indian DTH sector ramps up, more corporate activity is likely.
The deal will see a first tranch of equity shares issued, at Rs100 per share. A second tranche will convert warrants at Rs130 per share.
Dish TV, which is backed by the Zee Group of companies, had 2.6 million subscribers at the end of November, with 126,000 added in that month. The new chas will be used for subscriber acquisition, marketing and set-top boxes.
Source: Rapid TV News