Rupert Murdoch’s Star India has exited the home shopping business by selling its entire 50 per cent stake in Star CJ to American private equity firm Providence Equity Partners. The remaining 50 per cent stake is with South Korean home shopping major CJ O Shopping Co Ltd. The financial details of the deal could not be ascertained. Star and CJ O are believed to have invested close to $55 million in the JV. Star CJ came into existence in September 2009 as a six-hour slot on free-to-air channel Star Utsav. It later converted into a 24-hour shopping channel in 2010. The stake sale to Providence is in line with Star’s strategy to exit non-core initiatives and focus on building its sports and entertainment business. Star had earlier exited from Hathway Cable & Datacom and news broadcast JV Media Content and Communication Services (MCCS). Star CJ can retain the Star brand for up to one year following which the channel will be rebranded. The Foreign Investment Promotion Board (FIPB) recently approved Providence’s P5 Asia Holding Investments’ (Mauritius) proposal to buy out Star’s stake in the company. The proposal had been stuck with the government for more than a year, having been deferred many times. It was cleared only in the last stages of the erstwhile UPA government.
Read more at: http://www.televisionpost.com/television/star-offloads-50-stake-in-star-cj-to-providence-exits-home-shopping-biz/ | TelevisionPost.com
Read more at: http://www.televisionpost.com/television/star-offloads-50-stake-in-star-cj-to-providence-exits-home-shopping-biz/ | TelevisionPost.com
