Tata Group acquires Disney’s stake in Tata Play at $1 billion valuation: Report

Walt Disney has reached an agreement to sell its minority stake in Tata Play to the Tata Group, valuing the satellite TV provider at approximately $1 billion, Bloomberg News reported on Wednesday, citing sources familiar with the matter. After buying the 29.8% stake from Disney, the Tata Group now has full control of the platform. 

Last month, Tata Sons, the holding company of India's Tata Group, increased its stake in Tata Play to 70% by purchasing a 10% stake from Singapore state investment firm Temasek for approximately $100 million.

Tata Play (then Tata Sky) was incorporated in 2001 as a joint venture between Tata Group and TFCF Corp., formerly known as Twenty-First Century Fox. The company provides pay television via set-top boxes and over-the-top (OTT) video streaming through its app. Disney acquired its stake in Tata Play through its purchase of Star India, which was part of the acquisition of 21st Century Fox's Indian assets in 2017.

This comes at a time when Disney shifts its focus to its merger with India's leading conglomerate, Reliance Industries, aiming to create an $8.5 billion entertainment powerhouse that will have over 750 million viewers. The US-based media giant signed a binding agreement in February to combine its India unit with Mukesh Ambani’s Viacom18.