Orbit Showtime Network, the pay TV company valued at $2.5 billion by Arqaam Capital, bought Pehla Media & Entertainment.
The purchase will add almost 40 South Asian TV channels in Hindi, Urdu, Bengali, Tamil and Malayalam languages to OSN’s portfolio, according to a statement distributed at a press conference in Dubai today. The acquisition was financed by internal cash-flow and partly by debt, Chief Executive Officer David Butorac said, declining to provide the value of the deal.
Kuwait Projects Co., which owns 60.5 percent of OSN, said in June it hired Rothschild as the adviser for a possible initial public offering of the pay-TV unit. OSN’s market position and potential for growth created an opportunity for a share sale that Kuwait Projects wants to explore with Mawarid Group, which holds 39.5 percent of the company, Kuwait Projects’s Vice Chairman Faisal Al Ayyar said at that time.
CEO Butorac said today OSN isn’t currently in the process of an IPO and is studying strategic options.