Sony Pictures to buy Ten Sports for $385 m
Subhash Chandra-promoted Zee Entertainment has agreed to sell its sports business, Ten Sports, to Sony Pictures for $385 million (₹2,580 crore), bringing the curtains down on a deal that took four years to close.
The sale, scheduled to be completed in five months, will consolidate the sports broadcast market in India between Sony Pictures and Star India, with Nimbus retaining the third spot.
“This is a step toward a strategic portfolio shuffle as we grow our general entertainment business both in the domestic and overseas markets,” said Punit Goenka, managing director, Zee Entertainment. ““While we have grown our sports business over the last 10 years through acquisition of content at competitive prices, our focus now is on transforming ourselves into an allround media and content company, comprising broadcast, digital, films and live events.”
Zee had been wanting to get out of sports to help lessen noncore exposures and pare down rising operating expenses. While it had approached many large players, differences over valuations delayed a closure.
Sony Pictures chief executive NP Singh said the acquisition will “strengthen Sony’s offering for viewers of cricket, football and fight sports, complementing an existing portfolio of global and domestic sporting properties. ”
Sony’s bouquet will now include sports channels, including Ten 1, Ten 1 HD, Ten 2, Ten 3, Ten Golf HD, Ten Cricket, Ten Sports, which operate in countries such as Indian sub-continent, Maldives, Singapore, Hong Kong, West Asia and Caribbean.