Tata Group will buy 20% stake in Tata Play: Talks continue with Temasek, deal may be done for Rs 8,325 crore
Tata Group may soon buy Temasek’s stake in Tata Play. According to Bloomberg News report, Tata Group is in talks with Temasek Holdings Private Limited to buy back about 20% stake in Tata Play.
Deal between Temasek and Tata Group may be done for 1 billion dollars
According to the report, this deal between Temasek and Tata Group to buy stake in entertainment content distribution platform Tata Play can have a valuation of about $ 1 billion i.e. more than Rs 8,325 crore. After this deal, Tata Group’s stake in Tata Play will increase further.
Temasek had bought 20% stake of Tata Play in the year 2007.
Temasek had invested in Tata Play in 2007 and bought its 20% stake. Tata Play was incorporated in 2001 and started services in 2006. Then its name was Tata Sky, which was later changed to Tata Play. Tata Group has been trying for several months to buy back Temasek’s stake in Tata Play.
According to Bloomberg sources, talks are in the final stage between Tata Group and Singapore’s state investor to buy about 20% stake in Tata Play Limited. However, there is no guarantee that Temasek and Tata Play will go ahead with this deal. At the same time, no statement has come out from Tata Group and Temasek regarding this deal till now.
Tata Play provides pay-television and OTT services
According to the group’s website, Tata Play is a joint venture between Tata Group and Walt Disney Company’s Twenty-First Century Fox Inc. There is a joint venture between. Tata Play provides pay television through set-top boxes and over-the-top video streaming i.e. OTT services through its app.
Tata Play has more than 2.3 crore connections across India
Tata Play entered the OTT space with the launch of Tata Play Binge. On this platform, you simultaneously get OTT apps like Amazon Prime Video, Disney+Hotstar, Sony Liv, ZEE-5, Voot Select, Voot Kids, ShemarooMe, SunNext, Hungama Play, Eros. Tata Play has more than 23 million or 2.3 crore connections across India.
In July, Bloomberg had reported that Tata Group was considering offering to buy back Temasek’s approximately 20% stake in Tata Play. People associated with this matter had told Bloomberg at that time that Tata Group had got regulatory approval to bring Initial Public Offering i.e. IPO for Tata Play, but the company was delaying it.
