American Media and communication firm, Liberty Media is said to be in talks with Bharti Airtel for acquiring 25% of stake in the firm´s DTH satellite business. Market speculations states that Airtel might plan to sell its stake in its unlisted DTH business, as compulsory digitization and higher foreign ownership limit drives the firm to seek capital and market reach.
Bharti has been trying to unload satellite business that has 18% market share and it is said that the firm is keen on selling a larger stake at a higher valuation. Reliance Digital TV, a fully-owned subsidiary of Reliance Communications is also said to be in talks with Sun TV, DTH provider for selling 80% stake to the later.
Indian government´s digitization mandate has brought in a double digit growth for the DTH players. Other key DTH players are looking to raise capital to support the digitization mandate. Videocon is planning for an IPO; Tata Sky has filed for the same to raise capital to fund their DTH business.
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