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Carlyle joins the race for Airtel Digital TV stake
With a number of private equity players evincing interest in Bharti Airtel's direct-to-home business (DTH) Airtel Digital TV, competition among bidders for a stake in the DTH arm has intensified.
According to informed sources, US-based private equity (PE) giant Carlyle is in early-stage discussions with Bharti Airtel to acquire a minority stake in Airtel Digital TV.
Other PE majors that are already in the fray include KKR and Bain Capital. Bharti Airtel plans to dilute about 20 per cent stake in its DTH business to raise about $200 million. It targets a valuation of $1 billion for the DTH arm. As of December 2012, Airtel Digital TV had 7.9 million digital TV subscribers.
According to people in the know, Carlyle plans to invest in Airtel DTH through its buyout fund Carlyle Asia Partners. Carlyle is raising $3.5 billion for its fourth buyout fund, Carlyle Asia Partners IV.
Simultaneously, Carlyle is also engaged in discussions to buy minority stake in Lafarge India for $250-300 million.
A Carlyle spokesperson said, "As a policy, Carlyle does not comment on market speculations."
An email questionnaire sent to Airtel spokesperson did not elicit any response.
PE funds' attention turned to the DTH space after India decided to increase the foreign direct investment limit in DTH and digital cable companies from 49 per cent to 74 per cent.
Wish to read further, ------>
With a number of private equity players evincing interest in Bharti Airtel's direct-to-home business (DTH) Airtel Digital TV, competition among bidders for a stake in the DTH arm has intensified.
According to informed sources, US-based private equity (PE) giant Carlyle is in early-stage discussions with Bharti Airtel to acquire a minority stake in Airtel Digital TV.
Other PE majors that are already in the fray include KKR and Bain Capital. Bharti Airtel plans to dilute about 20 per cent stake in its DTH business to raise about $200 million. It targets a valuation of $1 billion for the DTH arm. As of December 2012, Airtel Digital TV had 7.9 million digital TV subscribers.
According to people in the know, Carlyle plans to invest in Airtel DTH through its buyout fund Carlyle Asia Partners. Carlyle is raising $3.5 billion for its fourth buyout fund, Carlyle Asia Partners IV.
Simultaneously, Carlyle is also engaged in discussions to buy minority stake in Lafarge India for $250-300 million.
A Carlyle spokesperson said, "As a policy, Carlyle does not comment on market speculations."
An email questionnaire sent to Airtel spokesperson did not elicit any response.
PE funds' attention turned to the DTH space after India decided to increase the foreign direct investment limit in DTH and digital cable companies from 49 per cent to 74 per cent.
Wish to read further, ------>
