Updated below: Nimbus Communications, the TV content company which has the Indian domestic rights for cricket, has received Rs 552 crore or $125 million from a group of investors such as 3i, Cisco and Oman International Fund (OIF). This is the largest private equity investment in the Indian media and entertainment sector. 3i had earlier invested $45.5 million in Nimbus for a third of the company.
This is the final round of investment the company is seeking before it lists itself in the stock markets. It “could be done within three years”, ET quotes Nimbus chairman Harish Thawani as saying.
Cisco and OIF are first-time investors in Nimbus.
TheDeal: The deal is the first Indian venture investment for Cisco since October 2005, when it committed to sink $1.1 billion in India and earmarked $100 million of that for venture investments. It had previously invested in two other Indian startups—mobile gaming company IndiaGames and mobile infrastructure provider Bharti Telesoft.
By investing in Nimbus, Cisco can better influence the underlying technology model for watching TV in India, said Sameet Mehta, a Cisco business development manager who oversees strategy in India. Some of Nimbus’ most popular broadcasts are those covering Indian cricket events. “Potentially, they could at some point air cricket matches around the world over IPTV streaming video,” he said.
Related:
3i Invests $45.5 Million In Nimbus Communications
Nimbus Communications Gets Indian Cricket Rights For $612 Million; Four Year Global Deal