Anil Ambani, Chairman of India's Reliance Communications, addresses a news conference in Mumbai, India, June 2, 2017. REUTERS/Shailesh Andrade
NEW DELHI: Astro Malaysia Holdings Bhd
is in talks to acquire Reliance Digital TV, a unit of Indian billionaire Anil Ambani’s Reliance Communications (RCom).
The Malaysian group is conducting due diligence to determine the Indian DTH company’s value, the Times of India reported.
A Reliance spokesman declined comment when contacted by Bernama.
With just 2% subscribers in the DTH market, Reliance Digital TV faces stiff competition from bigger players and a deal would help RCom cut its debt.
A Reliance-Astro deal will be the Malaysian company’s second investment in India’s DTH sector. Astro has a 20% stake in south Indian pay TV operator, Sun Direct.
“Three years ago, there was speculation about Reliance Digital TV combining with Sun Direct with the former being valued at Rs 1,200 crore (RM796mil),” the Times of India reported.
RCom is working to reduce its US$7bil debt pile and pursuing deals to sell a stake in its mobile tower unit and merge its wireless business with rival Aircel. - Bernama
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