The British televsision house Sky Television Network has revealed that the media magnate Rupert Murdoch is suffering from a low grade prostrate cancer. The News Corp boss‘ routine health check-up revealed this. Doctors are expected to commence radiotherapy in a short span of time. The prognosis is reported to be good.

Zee Telefilms‘ Limited (ZTL) has decided to hike its stake in Asianet Communications to 61 per cent, according to Business Standard. The board has passed a resolution to this effect on 14 April. The company had earlier decided to acquire 51 per cent stake in the south Indian television powerhouse.
In consideration, ZTL will pay Rs 1 billion to Asianet Communications‘ promoters for a ‘non-compete‘ clause under which no promoter will be allowed to start any competing business. The 61 per cent stake would have a consideration of ZTL stocks worth ARs 2.55 billion.

Asianet promoter Raji Menon will come on ZTL board while Subhash Chandra will be on the board of Asianet Communications.

The newest acquisition by ZTL will give the media powerhouse a greater stand in the southern market where it lacked much presence and also access to Asianet‘s cable networks in Kerla. Besides this, it will have access Asianet‘s library of 4,000 hours of original programming and 1,200 movie titles which Zee will use for international broadcast.

ZTL will now claim a presence in all 22 million C&S homes.

Zee has pole-vaulted its way into the southern language market by signing a memorandum of understanding (MoU) with Asianet Communications Ltd, the company that runs the Malayalam language service the same name. Under the MoU, Zee Telefilms will go in for a share swap with Asianet which will see it acquiring 51 per cent of the latter, effectively gaining control. Asianet will be given Zee Telefilms shares which will give it an equity position of less than 1 per cent in the company.
Zee TV has placed an enterprise value of Rs 4,000 million on Asianet, which means its outgo (in terms of Zee TV equity) to take the 51 per cent stake will be around Rs 2,000 million. Dr Raji Menon, the chairman of Asianet will get a seat on the Zee TV board. Ditto with Zee chairman Subhash Chandra who will hop on to the Asianet board. Asianet‘s name will not be changed, as it has quite a lot of cachet with its viewing audience.

Under the MoU, Asianet will be the southern language partner for Zee TV and develop content and channels for other southern tongues such as Kannada, Tamil and Telugu. In fact, a Kannada language channel is to be launched in the very near future.

Asianet reportedly has a library of 4,000 hours of programming and 1,200 Malayalam movies. Zee TV is looking at dubbing its software library and pumping it across the four languages. It will also help in the distribution of the channels across its digital bouquets in various countries.

The acquisition of the channels will help Zee TV jumpstart - in fact bulldoze - its way into the southern maket where Sun TV and Eenadu TV have a significant lead . Asianet will continue to be managed on a daily basis by Menon with more and more Zee TV expertise and creative and business talent coming into the company over time.

The media baron Rupert Murdoch‘s News Corp has picked up an additional 15 per cent stake in the Indian youth music channel Channel V. Sony Picture Entertainment‘s (SPE) failure to pump in additional cash into the channel which was seeking another round of funding resulted in News Corp acquiring SPE‘s 15 per cent stake in the channel. This has resulted in the media giant‘s stake rising to 77 per cent.
Initially, Channel V promoters were News Corp, Sony Picture Entertainment, Warner Music Group, BMG and EMI Music. The new equity composition is as follows:

News Corp: 77 per cent
EMI Music: 15 per cent
Warner Music Group: 4 per cent
BMG: 4 per cent

Channel V‘s board made the cash call barely eighteen months after its previous round of funding. The channel has reportedly posted lossed over $100 million ever since its launch. It has been consistently reporting losses and is under severe cash crunch. This situation has forced SPE to withdraw its stake thus exiting from the company.

According to a local newspaper, Suresh Bala, the General Manager Channel V said that the new equity composition would not affect the working of the channel and it would still remain autonomous.

The channel had lined up ambitious plans for the near future. The channel management is hoping that the new plans would ensure a turnaround for the channel.