SET India defers acquisition of SET Singapore

MUMBAI: Sony Entertainment Television India has deferred the acquisition of sister company SET Singapore as its proposed initial public offering (IPO) is unlikely to happen for at least a year.

The decision to put off restructuring of the holding was taken because it would have attracted capital gains tax. "As the IPO is not happening now, we have decided to put on hold the buying of SET Singapore. The proposed restructuring transaction would have attracted capital gains tax," says a company source.

SET India had obtained clearance from the Foreign Investment Promotion Board (FIPB) to acquire 100 per cent shares of SET Singapore through a share swap transaction. According to the proposal, one share of SET India was to be exchanged for 16 shares of SET Singapore. Post-restructuring, 60.65 per cent of the SET India equity would be with the Sony Pictures Entertainment (SPE) entities, 19.83 per cent with non-resident Indians and overseas corporate bodies, 7.68 per cent with foreign institutional investors and 11.84 per cent with Indian shareholders.

SET India's proposed IPO is also on hold, the source says. SET India CEO Kunal Dasgupta, however, refused to comment on the issue. The company has long been weighing the option of going for an IPO.

According to the source, Dasgupta had made a presentation to Sony Pictures Entertainment (SPE) chairman and CEO Michael Lynton a few months ago on SET India's growth prospects. In his presentation, he had listed an IPO as one of SET India's plans. "SPE's new CEO had called for presentations from its different entities. A few months back, Dasgupta earmarked SET India's growth plans as including an IPO," says the source.

SET India plans to acquire SET Singapore and consolidate operations before going in for an IPO. SET Singapore has invested in acquisition of television serials and Hindi feature films, besides ICC telecast rights for India and other parts of Asia till 2007, including two World Cup tournaments. In its FIPB application, Sony had said: "All major investments of SET Singapore are now close to maturity and are likely to become profitable in the near future. The benefits of these investments would accrue to SET India in the coming years through the process of consolidation. This will increase SET India's valuation."

The consolidation process, according to the source, will start only when SET India is more definite on when it is going to launch its IPO.

Latest Reads
Hungama Music starts original audio programming in Tamil ‘Endrendrum Punnagai’

Hungama Music has announced its foray into original audio programming from 22 January. Starting with Endrendrum Punnagai, a Tamil audio original, Hungama Music will soon launch additional shows in other key Indian languages including Hindi, Telugu, Punjabi, Bengali and Marathi, among others.

Television TV Channels Music and Youth
Times Network salutes the spirit of heroism with its Republic Day movie line-up

Times Network, India’s leading television broadcasting network, celebrates the 70th Republic Day of India by taking its viewers on a remarkable journey of valiance on its channels MOVIES NOW and MNX.

Television TV Channels English Entertainment
National Geographic to celebrate the spirit of the Indian Air Force on India’s 70th Republic Day with ‘Extreme Flight: Indian Air Force’

National Geographic is marking the 70th Republic Day celebrations by paying tribute to the selfless heroes of the Indian Air Force.

Television TV Channels Factual @ Discovery
Sun Bangla to rise on 3 February

In 2018, it was reported that the Southern broadcast behemoth, Kalanithi Maran-owned Sun TV Network intended to travel to new regions of the country - Marathi and Bengali.

Television TV Channels Regional
Ad volume for cricket up by 16% in last 2 years

Sports viewership has undergone a transformation, with the burgeoning interest in sports other than cricket. While the gentleman’s game still commands most eyeballs (69 per cent), other sports contributed around 31 per cent of the overall viewership in 2017. Of this, Star India’s Pro Kabaddi League...

Television TV Channels Sports
Zeel channels most watched Hindi entertainment channels across genres

Zee Entertainment Enterprises Ltd (Zeel) Hindi GEC channels – the free to air (FTA) Zee Anmol and flagship Zee TV were the most watched Hindi entertainment – be it GEC or Hindi movies channels, in Broadcast Audience Research Council of India (BARC) weekly list of top 10 channels across genres for...

Television TV Channels Viewership
New English news channel Harvest TV to launch on Republic Day

As the general elections are inching closer, media veterans are set to launch several news ventures.

Television TV Channels News Broadcasting
Star Sports unveils new campaign “Cricket Ka Asli King Kaun” for India’s tour of New Zealand

Star Sports – India’s leading sports broadcaster has unveiled a new campaign for India’s tour of New Zealand.

Television TV Channels Sports
Start your weekend right with NBA ‘saturday morning live’

The National Basketball Association, unveiled its campaign in India to create awareness amongst existing as well as new fans. Under its global television campaign, ‘This Is Why We Play’,

Television TV Channels Sports

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories