The merger between two Indian DTH giants, Dish TV and Videocon d2h has completed. Both companies announced the merger back in November 2016 and proposed to create a new company called Dish TV Videocon.
“..post completing all the steps pursuant to the aforementioned Scheme read with the NCLT Order, Videocon D2h Limited has merged into and with Dish TV India Limited on March 22, 2018, which is the Effective date of the Scheme,” said a press release.
The new combined entity called “Dish TV Videocon” will have around 29 million subscribers in India. Thus commanding over 45 percent of the Indian DTH market share. It also paved way for the creation of the largest listed media company in India (which is based on the last reported full-year revenue and EBITDA numbers of the two DTH players on a pro-forma basis).
“We are extremely pleased to announce that the D-Day is finally here. Today, Videocon D2h Limited and Dish TV India Limited have become one entity. This amalgamation positions the new entity for exceptional future growth and profitability and puts on us the responsibility to lead the DTH industry in India to the next level,” said Mr Jawahar Goel, CMD, Dish TV India Limited.
On 26th March 2018, a meeting of the Board of Directors of the Company is scheduled to be held, to inter alia consider and initiate necessary incidental actions in relation to the Scheme of Arrangement for Amalgamation of Videocon D2h Limited into and with Dish TV India Limited.
To recall, the two Indian DTH operators announced the merger in November 2016. They agreed to merge Videocon D2h into and with Dish TV through a Scheme of Arrangement amongst Dish TV, Videocon D2h and their respective shareholders and creditors. This has been notified to the Competition Commission of India (CCI) for its approval. CCI approved the merger back on 4th May 2017. On 12 May 2017, in a meeting convened by the National Company Law Tribunal (NCLT), the Equity Shareholders of the Company had also approved the merger.
Finally, the Mumbai Bench of the NCLT at a hearing held on July 27, 2017, had approved the Scheme under the provisions of Sections 230-232 and other applicable provisions of the Companies Act, 2013. Thus, we have the new combined entity Dish TV Videocon.