wordpress blog stats
Connect with us

Hi, what are you looking for?

Is Videocon Looking To Acquire Loss Making IPTV And VoIP Co IOL Netcom?

Someone told me a couple of weeks ago that Videocon is looking to launch DTH services. In that context, this story, about Videocons plans to acquire IOL Netcom doesn’t come as a surprise: ET reports that two Videocon affiliated companies – Shree Dhoot Trading & Agencies Ltd (SDTAL), an investment company of the Dhoot family that owns Videocon, and Videocon Realty & Infrastructure Ltd (VRIL) have picked up 11.72 percent and 1.97 percent percent equity in IOL Netcom.

Looking at IOLs earnings report annexures, it appears that this is up from SDTALs 6.51 percent stake, and VRILs 1.83 percent stake at the end of Q1-09. IOL Netcom President Siddharth Srivastava has denied that there has been any takeover proposal from Videocon.

IOL Netcom offers content on MTNLs IPTV, and this would fit in with Videocons telecom, DTH and IPTV plans. Here’s a list of their channels. Do note that the company also entered the Voice Over Internet Protocol business (for MTNL) by merging with Exatt Technologies (an allocation of 25 lakh shares, PDF). Exatt was an ISP operating in 10 circles, in collaboration with local cable operators. IOL also tied up to bring GyPSii, a geo-location social networking platform for mobile, web and importantly – set top boxes. The tie-up was via IOLs subsidiary Broadway (site under construction since Feb). GyPSii is a map service and a friend finder.

For the quarter ending June 30th 2008, IOL Netcom reported a net loss of Rs. 9.68 lakhs crores, with revenues of Rs. 3.04 lakhs crores. For the last fiscal, the company had reported a loss of Rs. 21.46 crores, with revenues of Rs. 24.25 crores. Important to note that they paid Rs. 10.08 crores in the year for “Purchase of traded goods”…is that payout for content acquisition?

Note that the Times of India Group (BCCL) also owns a 1.83 percent stake in IOL Netcom, as well as a stake in Videocon, both via the private treaty investment route.

Download: Q1-09 Financials, Annexure

Advertisement. Scroll to continue reading.
Written By

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

The Delhi High Court should quash the government's order to block Tanul Thakur's website in light of the Shreya Singhal verdict by the Supreme...

News

Releasing the policy is akin to putting the proverbial 'cart before the horse'.

News

The industry's growth is being weighed down by taxation and legal uncertainty.

News

Due to the scale of regulatory and technical challenges, transparency reporting under the IT Rules has gotten off to a rocky start.

News

Here are possible reasons why Indians are not generating significant IAP revenues despite our download share crossing 30%.

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ