Zee Buys Anil Ambani's Radio, TV Ops

After months of speculation and on-again, off-again talks, Zee Group has acquired the radio and TV businesses of Reliance Capital in a Rs.1,900 crore deal. The Anil Ambani company will use the proceeds to reduce its debt. As per the deal, Zee Media Corporation, which houses the Subhash Chandra-owned group's news channels, will acquire 49% stake in BIG FM, which has 45 operational licences and 14 new licences under phase III auctions.
Separately , Zee Entertainment Enterprises (ZEEL), which houses the group's national and regional entertainment TV channels, will buy 100% stake in Reliance's general entertainment business.
RBNL will transfer the FM licences to two special purpose vehicles (SPVs) along with assets and liabilities. Zee Media will acquire 49% in each of these SPVs and both the companies will have the option to acquire the remaining 51% after the lock-in provisions for the licences expire.

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