Tata Group is all set to take full control of its entertainment division, Tata Play. According to Bloomberg, Walt Disney Co. has finalised the deal with Tata Group to sell its minority stake of 29.8% in Tata Play for $1 billion. They further mentioned that Disney had shifted their focus on merging their Indian entity with Mukesh Ambani’s media arm.
According to Mint, Disney signed a binding agreement in late February to merge its India unit with billionaire Mukesh Ambani’s media arm, Viacom 18 Media Pvt.’ This would create an entertainment giant worth $8.5 billion with a viewership of 750 million people, making it a dominating entity in the entertainment sector.
What’s The Scoop on Tata Play?
Tata Play is a joint venture between Tata Group and TFCF Corp, incorporated in 2001. According to Tata Sons’ website, the company offers pay television services through set-top boxes and over-the-top video streaming via its app, boasting a pan-India reach with 23 million connections. Tata Play also confidentially filed for a domestic IPO in 2022, but the listing has yet to occur.
Earlier this year, Tata Group increased its stake in Tata Play to just over 70% by purchasing Temasek Holding Pte’s share. As noted on its website, Temasek initially invested in Tata Sky, as it was then known, in 2007.
However, the representatives of Tata Group, Disney and Temasek declined to comment on the ongoing development.
