24 Sep – It has been revealed that Sony Corp's Indian subsidiary Sony Pictures Networks India is buying its rival network Zee Entertainment.
The two will be merging TV channels, film properties and streaming platforms, enabling it to become the largest broadcaster in the country rivalling the likes of Netflix and Disney.
A statement from Sony Pictures read, "The combined entity would be a publicly listed company in India and be better positioned to lead the consumer transition from traditional pay-TV into the digital future."
As per merger terms, Sony will hold a majority stake and power, with current CEO, NP Singh remaining on the company board.
The deal comes after Zee Entertainment faced issues following the management reshuffle last week, with the removal of CEO Punit Goenka.
"This consolidation will create a positive impact for the broadcasting industry since it will help in boosting revenues of the existing players which was bit subdued on account of over-the-top (platforms)," said Vivek Menon, co-founder of debt fund NV Capital.