Dhoots, promoters of world’s largest picture tube maker Videocon group with interests in energy, have decided to sell a minority stake in Bharat Broadcasting Corporation which provides Direct to Home (DTH) television service under the Videocon D2H brand,
two people familiar with the development said. Videocon owns 100% stake in the DTH business now.
One of the PEs Dhoots have begun negotiations with is Apollo Global Management, the sixth-largest private equity fund by assets under management. The PE fund had invested $100 million in Videocon’s rival Dish TV in 2009.
Videocon launched the DTH business as part of its synergy with the television-making business which the group transformed into a component supplier as it faced threats from multinational consumer goods giants like Samsung and LG. Though it was late in its 2009 DTH entry, the company is now one of the leaders in this six-horse race, driven by its consumer sales points through its TV sales counters and its consumer goods retail chain “next”.