NDTV and NBC Universal execute memorandum of agreement
Mumbai, Jan 22 (UNI) NBC Universal (NBCU) and NDTV, today announced the execution of a Memorandum of Agreement (MOA), to form a long-term strategic partnership in India.
NBC Universal will acquire an effective 26 per cent share in NDTV Networks, the holding company for NDTV's entertainment and lifestyle channels, digital media and other interests, including media products and services, from this tie-up.
According to a release issued here, the agreement also includes an option for NBC Universal to increase its stake to become a 50 per cent partner with NDTV in the Joint Venture company through which NBCU is investing, subject to any necessary consents and approvals.
The option would be exercised at fair market value in two years' time.
Channels operated by NDTV Networks includes NDTV Imagine, the Hindi general entertainment channel, launched yesterday, and the recently unveiled lifestyle channel NDTV Good Times.
The announcement was made today by Jeff Zucker, President and CEO, NBC Universal and Dr Prannoy Roy, Chairman and joint founder of NDTV.
Mr
Zucker
said,
''This
will
be
a
significant
investment
for
NBC
Universal
in
an
important
emerging
market
and
further
illustrate
our
commitment
to
expand
our
company
internationally,
particularly
in
high-growth
areas.
The
Indian
TV
market
is
growing
at
a
rate
of
16
per
cent
annually,
which
provides
huge
opportunities
now
and
into
the
future.'' Dr
Prannoy
Roy,
Chairman,
joint
founder
and
major
shareholder
of
NDTV,
stated,
''This
agreement
is
a
significant
step
for
us.
Today,
two
pioneers
in
the
television
history
of
the
world's
two
largest
democracies
have
come
together
to
cater
to
a
dynamic
and
demanding
set
of
viewers.''
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