New Delhi Television (NDTV) today said Malaysia-based Astro All Asia Networks would acquire a 49 per cent stake for $40 million (Rs182 crore) in its subsidiary, NDTV Lifestyle.
Under the agreement, South Asia Creative Assets Ltd, a subsidiary of Astro All Asia Networks Plc, will acquire the 49 per cent stake in NDTV Lifestyle Holdings Private Ltd in two tranches, the media company said in a filing to the Bombay Stock Exchange.
In fact, reports say it is boom time for foreign investments in the Indian media industry, with the foreign investment promotion board (FIPB), the nodal agency for foreign investments, having given its nod for the inflow of over Rs750 crore of investments in the sector at its last meeting held earlier this month.
The US-based private equity fund Blackstone and Malaysian investor Astro are the prominent overseas players who will be pumping in money in the media companies including Jagran Media, NDTV Lifestyle Holding and Kal Media, among others.
After the FIPB approval, Blackstone will put in Rs225 crore in Jagran Media for an around 13 per cent stake while Astro that will put in $40 million (about Rs184 crore) in NDTV Lifestyle Holding in lieu of a 49 per cent stake. Astro is also set to invest another Rs350 crore-plus in Kal Media, a Kalanithi Maran firm which in turn will be invested in Sun Direct DTH services of the company.
According to official sources, FIPB gave its nod to Jagran Media to receive Rs225 crore from Mauritius-based private equity firm Blackstone GPV Capital Partners. Jagran Media is a subsidiary of the Jagran Group, the publishers of Hindi daily Dainik Jagran.