Zee acquires Sarthak Entertainment for $17m

Zee Entertainment Enterprises has decided to acquire fully Sarthak Entertainment, which operates Odia-language Sarthak TV.

The acquisition shall be from current shareholders of Sarthak Entertainment, subject to requisite regulatory approvals, as an all-cash deal at a consideration of maximum of 1.15 billion rupees or about $17 million.

With this acquisition, Zee has entered the rapidly expanding regional market in Odisha. Sarthak TV would complement Zee’s regional bouquet of channels that includes Zee Marathi, Zee Talkies, Zee Bangla, Zee Bangla Cinema, Zee Telugu, Zee Kannada and Zee Tamizh.

“The acquisition of an already profitable, market leading venture is going to be a value accretive investment in line with our philosophy of enhancing shareholder value,” said Punit Goenka, managing director and CEO of Zee. “Sarthak will further add to our formidable bouquet of 33 channels in the domestic market.”

“Being the oldest and market leading network in India, Zee would provide the perfect platform for Sarthak to grow further in the future,” said Sitaram Agrawalla, founder and managing director of the Sarthak Group. “With a history of successful operations, we are sure Sarthak will be a great value-add for Zee.”