Airtel-tata merger: Negotiations are going on between the country’s legendary telecom company Bharti Airtel and Tata Group regarding the merger of DTH business. Airtel confirmed the news on Wednesday. In an exchange filing, Airtel said, “We want to tell that Bharti Airtel Limited and Tata Group are having bilateral talks. In this, Airtel’s subsidiary Bharti Telemadia Limited and Tata Limited for the merger of DTH Business of Tata Group under Tata Limited and Tata Ltd. Possible transactions are being detected. “
Airtel will have majority stake
According to media reports, the deal is expected to be in the form of share swap, in which Airtel will achieve majority stake (52–55 percent). While Tata Play shareholders, including Tata Sons and Walt Disney, will maintain a 45–48 percent stake in a joint venture. This merger will help Airtel expand its broadband and entertainment business. This will allow telecom, broadband and DTH services to be offered simultaneously. Airtel Digital TV operated under Bharti Telemedia will get access to 1.9 crore homes of Tata Play and 5 lakh broadband customers.
Customer base will be 3.5 crores
After the merger, the joint customer base of the new unit will be 3.5 crores. Its financial year 2024 revenue will be more than Rs 7,000 crore. The DTH businesses of both Airtel and Tata Play have been priced at 6,000-7,000 crore (each). This possible merger will be another major development in India’s media sector after Reliance-Dizny Merger. Reliance-Dizny has come together under Star India and Viacom 18 Giostar in Merger. It is the largest media company in the country.
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