Swiss firm to pick 3% in IndusInd Media

Swiss Company Kudelski SA has entered into an agreement with Hinduja group company, IndusInd Media & Communications, for picking up a three per cent stake.

The stake could be picked up at around Rs 75 crore which will be based on the IndusInd Media's valuation of about $500 million.

The two sides have already agreed on the parameters of the valuation based on the advice of consultancy firm PricewaterhouseCoopers' and Amas Securities but the final price will be arrived at after due-diligence, the Hinduja group has said in a media release.

After the deal goes through, IndusInd will have two listed stakeholders Intel and Kudelski.

Nagravision SA, a wholly owned subsidiary of Kudelski, will provide an exclusive Conditional Access solution to encrypt and secure the digital Pay TV services of IndusInd and render turnkey solutions for deployment of digital Pay TV services.

The tie-up will ensure that only those who have paid for a service will gain access. Nagravision is among the world's largest providers o pay TV services through more than 35 million decoders and set top boxes worldwide.

IndusInd has opted for Nagravision after conducting a detailed evaluation of technology and feasibility and keeping in view the special features of the Indian market.

"IndusInd Media believes that Nagra's technology solution is ideally suited for the Indian market and takes into account the emerging needs of the various constituents including customers, broadcasters, other service providers as well as the last mile local cable operators."

Nagra's global customer portfolio includes customers like EchoStar in US, Telewest and NTL in UK, Premier in Germany and Hong Kong Cable Television in Asia Pacific.

IndusInd Media is India's largest multi systems operator and played a leading role in the creation of a corporate environment in the cable TV industry. It is a part of Hinduja TMT the new economy arm of the Hinduja group.