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News TV India Ltd, the Indian arm of Rupert Murdoch-owned Star TV, is all set to acquire a 25% stake in Rajan Raheja-owned cable network, Hathway Cable & Datacom Private Ltd.
A formal announcement to this effect is expected to be made by Star officials next week.
With this deal, Star TV would have its long standing need of owning a cable distribution network, completed. With its rival channel Zee Telefilms owning its own cable network, Siti Cable, Star felt the serious need to strengthen its distribution platform.
Hathway is one of the leading MSO (multi system operator) in India with a substantial share of consumers in the cable distribution business. The other leading MSO‘s in the country are Siti Cable, owned Zee Telefilms, and Hinduja, owned IN CableNet.
Having gained access to the cable distribution network, Star can also go ahead with its convergence plans and other plans for the Internet sector. It has already set up a new media division to look into broadband, convergence and other Internet related services in the country.
