MUMBAI: The deal between direct-to-home (DTH) operator Dish TV’s promoter Essel Group and Bharti Airtel has been called off due to differences over valuation, according to a report in Business Standard.

Now, the promoters of Dish TV have begun talks with a global financial investor which does not have operations in India, for half of their stakes. According to the report, Essel Group will use the cash from the sale to repurchase a five percent stake in its flagship property Zee Entertainment Enterprises (ZEEL) in the next 12 months.

The strategy is eventually to go up to 26 per cent, the report added. The Essel group expects Rs 2,000 crore from the deal, if it goes through. Last year, it sold 16.5 percent out of its 22.37 percent stake in ZEEL.

As Bharti Airtel is looking out at expanding its DTH business to face the challenge thrown by Jio, the deal would have helped Sunil Mittal’s Airtel to emerge as the largest force in the DTH sector. Dish TV’s subscriber base is way higher than that of Airtel Digital TV.