M&A

M&A

Airtel looks to buy satellite television player Dish TV from Essel Group: report

Mint  

Bharti Airtel Ltd is in early talks to acquire a majority stake in Dish TV India Ltd, in a deal that is expected to give the telecom operator control of half of the country's satellite television business. Bharti Airtel executives have had talks with Essel Group founder Subhash Chandra for the transaction. EY, which Bharti Airtel has hired to inspect Dish TV's financials, has submitted the due diligence report. Bharti Airtel has offered INR 20 a share, a 16% premium to Wednesday's closing price, to buy the 5.93% stake of Dish TV's promoter group. For now, Chandra has not accepted Bharti's offer, which has prompted Bharti Airtel to wait before reaching out to Yes Bank, the largest shareholder of Dish TV. Bharti Airtel will not make a hostile bid for Dish TV. The telecom company will offer to buy the 25.63% shares owned by Yes Bank only after the promoter group accepts Airtel's offer. Once the promoters and Yes Bank accept Bharti's offer, it will offer to buy the remaining shares of Dish TV from other shareholders to own 51% of the company.