http://economictimes.indiatimes.com/News/News_By_Industry/Media__Entertainment_/Nimbus_may_be_put_up_for_sale/articleshow/2513719.cms
Nimbus may be put up for sale 3 Nov, 2007, 0217 hrs IST,Boby Kurian & Anto T Joseph, TNN BANGALORE/MUMBAI: Nimbus Communications is believed to be on the block. Strategic investors, including private equity major 3i and some Nimbus promoters, are seen firming up plans to exit the Mumbai-based media company, which holds the global rights for BCCI-owned cricket in India till 2010. Sources said the Nimbus board will soon consider three proposals—one from a UK-based media major for a majority stake in the company, and two others from international distress fund Ashmore and a media investment company from Singapore for a significant minority stake. Sources said the proposed deal will include selling existing shares and issuing fresh ones. Nimbus has been in the market for raising around $100 million by placing around 15% with PE investors, which would have valued it at $700-800 million. But the company, which has been under pressure from advertisers for its weak distribution, has seen the negotiations drag on. Sources said the contours of dealmaking may undergo significant changes with strategic players stepping in. When contacted, Nimbus chairman Harish Thawani said: "While there may be proposals before us expressing interest to take a controlling stake, it is highly unlikely that the board will recommend them. We believe the best years are clearly ahead of us." Mr Thawani added that 3i is a long-term player in Nimbus, and he is not aware of any move by it to exit. He said the fund-raising need of Nimbus is limited at the moment while adding that he intends to be in-charge of the company. Last year, Nimbus stunned the biggies by bagging BCCI's cricket rights for $612 million, pipping the Zee Group. Sources said the European media entertainment major in the fray will be interested only in a majority control, and hence its interest will depend on the Nimbus promoter's move. It is believed that suitors may go in for further negotiations on the valuation as Nimbus struggles with distribution and lower TRPs in the wake of feed sharing with Doordarshan. In the just-concluded India-Australia series, Nimbus' sports channel, Neo, had a TRP of just 1.4 against DD's 5. Further, recent media reports indicated that it is involved in a tussle with BCCI over delay in making payments to the latter. -- Members of the ZESTMedia list exchange news and views about the media in Pakistan, India, Bangladesh, Nepal, Sri Lanka, Maldives and Bhutan. Write to [email protected] If you got this mail as a forward, subscribe to ZESTMedia by sending a blank mail to [EMAIL PROTECTED] OR, if you have a Yahoo! ID, by visiting http://groups.yahoo.com/group/ZESTMedia/join/ Get all ZESTMedia mails sent out in a span of 24 hours in a single mail. Subscribe to the daily digest version by sending a blank mail to [EMAIL PROTECTED], OR, if you have a Yahoo! Id, change your settings at http://groups.yahoo.com/group/ZESTMedia/join/ theZESTcommunity------------------------------------------------- ZESTCurrent: http://groups.yahoo.com/group/ZESTCurrent/ ZESTEconomics: http://groups.yahoo.com/group/ZESTEconomics/ ZESTGlobal: http://groups.yahoo.com/group/ZESTGlobal/ ZESTMedia: http://groups.yahoo.com/group/ZESTMedia/ ZESTPoets: http://groups.yahoo.com/group/ZESTPoets/ ZESTCaste: http://groups.yahoo.com/group/ZESTCaste/ ZESTAlternative: http://groups.yahoo.com/group/ZESTAlternative/ TalkZEST: http://groups.yahoo.com/group/TalkZEST/ Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/ZESTMedia/ <*> Your email settings: Individual Email | Traditional <*> To change settings online go to: http://groups.yahoo.com/group/ZESTMedia/join (Yahoo! ID required) <*> To change settings via email: mailto:[EMAIL PROTECTED] mailto:[EMAIL PROTECTED] <*> To unsubscribe from this group, send an email to: [EMAIL PROTECTED] <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/
