Reuters to buy 26% in Times of India

Published on Mon, Apr 25, 2005 at 10:20 |  Source : Moneycontrol.com

Updated at Mon, Apr 25, 2005 at 10:40  

Like this story, share it with millions of investors on M3
0
0
Share on Tumblr

Reuters Group PLC has agreed to buy a 26% stake in the broadcasting arm of the Times of India Group, part of the British company's effort to expand into India's fast-growing television market, report newswires. 

Reuters, a global news and information provider, will acquire the stake in the Times Global Broadcasting Company for about $20 million (15.3 million euros), according to a person familiar with the matter. As part of the transaction, Reuters will supply branded programming to a news and current-affairs channel that the Indian company plans to launch later this year. The 24-hour channel, which will initially be broadcast in English, is mainly aimed at India's urban audience.

The move comes as Reuters is starting to benefit from a reorganisation effort intended to offset sluggish growth in the financial-data market. "It's our first real significant investment for some time in consumer media," said Chris Ahearn, President of Reuters Media. "It's part of our new strategy to reach out to urban professional individuals."

Though Reuters has operated in India for almost 140 years, its presence has been low key. It mainly gathers and distributes news. Lately, it has begun moving jobs to lower-cost regions in India. In late 2003, it set up a financial-data center in Bangalore. Currently employing 600 people in India, it is expected to hire an additional 900 over the coming 18 months. The latest transaction is Reuter's first foray into India's rapidly expanding cable-TV market, now the world's third largest, with 44 million subscribers, according to Reuters. Reuters will supply news and other content from news bureaus it runs around the world.

The Times of India's broadcasting unit already runs one cable channel, Zoom, launched in late 2004 and now available in 22 million Indian homes. The company plans to launch three more, including the new one on current affairs. The Times of India Group is one of the largest media conglomerates in South Asia. In addition to publishing the largest English-language broadsheet newspaper in the world by circulation, it owns interests in magazines, radio and music.

In 2004, Dow Jones & Co, publisher of The Wall Street Journal, and the Times of India announced plans for a joint venture to publish the Wall Street Journal India.

Quick links:

For a quick guide to Financial Statements -  click here
To evaluate your life insurance needs - click here
To view the latest mutual fund NAVs - click here

  

More on Moneycontrol

Trending News

Business News

Government to directly check BBM and other IM services
Competition ahoy: Monkey 1, Sensex in neck-and-neck race "Competition ahoy: Monkey 1, Sensex in neck-and-neck race"

From DJ Greek Fin Min Says Feb 17 Final Day For Greek Bond Exchange Offer

The latest earning numbers FIRST on CNBC-TV18
Videos

Feb 10 2012, 21:39

Tulsian buys steel stocks; negative on sugar, ADAG

- in MARKET OUTLOOK

Feb 10 2012, 21:39

Truck demand sluggish; margins down 80bps: Shriram Trans

- in Results Boardroom

Interviews

Feb 11 2012, 11:52 | Source: CNBC-TV18

TCS to expand centers in N.America; CY12 focus on Japan  

Feb 10 2012, 15:43 | Source: CNBC-TV18

Growth in margins sustainable going forward: Shasun Pharma  

Subscribe to

Moneycontrol Newsletters

Moneycontrol.com offers you a choice of various sectoral and other newsletters for FREE!

Follow moneycontrol.com