Zee Entertainment buys 9x channels for Rs 160 crore
Zee Entertainment in a move to improve its profitability has decided to acquire 9X Medias various channels along with its subsidiary for a cash consideration of Rs 160 crore.
Zee Entertainment Enterprises (ZEEL) on Friday entered into a definitive agreement to acquire 9x Media Private Limited and its subsidiaries from New Silk Route for cash consideration of Rs 160 crore.
Punit Goenka, MD & CEO, ZEEL said, "9X channels enjoy leading market shares in their respective segments and will benefit immensely from our network’s strength to achieve higher growth potential and cost synergies. I am confident that these channels will make our entertainment bouquet even more compelling for the audience.”
Once the acquisition completes, all music channel of PX Media will be added to ZEEL’s current portfolio of 33 channels. 9X Media’s popular Bollywood news portal, SpotboyE, will also be a part of the transaction.
With this acquisition, ZEEL is confident in utilizing network synergies to bring down the costs and significantly improve the profitability of these channels.
This acquisition is in line with ZEEL's strategy to cater to diverse audience by offering targeted products. Besides significantly expanding its Hindi music portfolio, it gives ZEEL access to the regional music genre. It also increases its regional footprint with foray into the Punjabi market.
9X Media, along with its subsidiaries, operates a bouquet of six music channels - 9XM (Latest Bollywood), 9X Jalwa (Evergreen Hindi), 9X Jhakaas (Marathi), 9X Tashan (Punjabi), 9XO (English), 9X Bajao (Hindi Classics).
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.