Reliance Industries (RIL) is in talks to acquire Sameer Manchanda promoted multi-system operator (MSO), DEN Networks as per a leading news daily.
The deal is most likely to go through and the valuation DEN is looking at is between Rs 2,000 crore and Rs 2,200 crore. MSO is the industry term for a cable company, which signs content and carriage deals with broadcasters and offer the services to local cable operators.
RIL, which has launched 4G services in the country under Reliance Jio brand, has been working on the launch of home broadband and cable TV services for quite some time now. It also has plans to offer quad-play services ¬ broadband internet, wire line telephony, cable television and wireless.
A possible acquisition of DEN Networks will give RIL a direct entry into 13 million households, including over 10.5 million digital subscribers.
The shares of RIL were trading at Rs 820.3, up by 0.13 percent during Wednesday’s trading session on BSE. Meanwhile, the shares of Den Networks were trading at Rs 97, up by 10.29 percent during Wednesday’s trading session on BSE. - IIFL