I&B Ministry
Zee Media’s 49% stake in 92.7 BIG FM gets it 59 radio channels
NEW DELHI: Zee Media Corporation Limited (ZMCL)’s Board of Directors today approved acquisition of 49 per cent stake in 92.7 BIG FM, the radio broadcasting business of Reliance Broadcast Network Limited (RBNL), part of Anil Ambani-led Reliance ADA group. This will give Zee access to 45 running FM radio channels, apart from 14 other licences.
As per the agreement with ZMCL, which controls Zee group’s news-related businesses, RBNL shall be transferring the 45 operational and 14 new licenses into two special purpose vehicles (SPVs), respectively, along with the assets and liabilities. Zee shall acquire 49 per cent stake in each of these two SPVs named Vrushvik Entertainment Private Limited (VEPL) and Azalia Media Services Private Limited (AMSPL).
ZMCL and Reliance Broadcast shall also have a call/put option to acquire/sell the balance 51 per cent after the lock-in provisions on the permission holder of these licenses expire. As per government regulations, at least 51 per cent shareholding needs to be held by the permission holder for a minimum period of three years from the date the radio channels were operationalized.
RBNL runs one of the largest network of FM radio channels in India, which include 45 operational licenses (issued under Phase II and migrated to Phase III) and 14 new licenses (issued under Phase III). The FM channels are broadcast under the brand 92.7 BIG FM that reaches 45 cities, 1,200 towns and over 200 million people.
The lock-in period for the 45 operational licenses shall expire on 31 March 2018, while the lock-in period for the other 14 licenses are expected to expire around March 2020.
ZMCL COO Rajiv Singh in a statement said, “We are pleased to announce this acquisition, which shall not only be complementary to our current business but accelerate its growth too. We are currently running successfully a bouquet of 11 news and current affair channels and with the addition of 59 radio licenses, we will be reaching out to a much increased audience base and will keep them engaged on different media platforms. This acquisition shall bring about the desired business diversity and will help in achieving the sound financial objectives at an accelerated pace.”
The proposed transaction, which is subject to regulatory approvals, including that from Ministry of Information & Broadcasting (MIB), is expected to close in the first half of calendar year 2017.
Commenting on the divestment of stake, Reliance Capital ED and Group CEO Sam Ghosh said, “We are happy to bring in Zee Media as our partner in the Radio business. This transaction is part of our strategy to reduce exposure in non-core businesses and work towards further reducing debt under Reliance Capital”.
Why has Zee re-entered the FM radio business (remember it bid for licences in the first round FM radio auctions years back)?
According to ZMCL, the radio assets become attractive for the following reasons; especially as the Phase III of FM radio expansion has liberal regulations compared to earlier phases:
– higher penetration leading to economies of scale
– centralized broadcasting (networking) allowed
– radio services in larger number of cities leading to increased advertisement budget allocation
– multiple frequencies in same geography resulting in content differentiation
– varied content such as news, sports, current affairs, sports, etc allowed
– license tenor increased to 15 years from 10 years
Whether the re-entry into radio business bears fruits remains to be seen and will also depend on the condition of the general economic conditions in the country that is currently unsettled a bit because of the government’s move to demonetise currency notes of Rs. 500 and Rs. 1,000 denominations.
I&B Ministry
Digital radio, D2M tech set to reshape broadcasting and public messaging
Govt pushes next-gen delivery while TRAI tightens grip on spam ecosystem
NEW DELHI: India’s broadcasting and telecom landscape is undergoing a quiet but significant upgrade, with digital radio and Direct-to-Mobile (D2M) technologies emerging as powerful tools for mass communication, while regulators step up efforts to tackle spam calls.
According to the Ministry of Information and Broadcasting, digital radio and D2M are poised to transform how content reaches audiences by making more efficient use of spectrum. In simple terms, multiple channels can now be delivered over a single frequency, opening the door to a wider range of free-to-air content.
D2M technology takes this a step further by enabling video, audio and data to be broadcast directly to mobile handsets without relying on SIM cards or mobile data. The result is a resilient and cost-effective data pipe that can deliver everything from entertainment and education to critical emergency alerts, even in low-connectivity scenarios.
At the same time, the Telecom Regulatory Authority of India is tightening its grip on unsolicited commercial communication, better known as spam calls. The regulator has deployed a distributed ledger technology platform to bring transparency and accountability into the system.
Through this blockchain-based setup, consumers can register their preferences on receiving promotional messages, while businesses and telemarketers must also sign up and operate within defined rules. The platform also includes a complaint mechanism that allows users to report spam, with complaints shared across telecom operators for coordinated action.
The government’s broader push is being supported by infrastructure upgrades under the Broadcasting Infrastructure and Network Development scheme. Implemented through Prasar Bharati, the initiative focuses on modernising networks such as Akashvani and Doordarshan, including digitisation and adoption of next-generation broadcast equipment.
In a written reply in the Lok Sabha, Ministry of Information and Broadcasting minister of state for information and broadcasting L. Murugan said these steps are part of a larger effort to promote emerging technologies and strengthen the country’s broadcasting backbone. The response came to a query raised by member of Parliament Rao Rajendra Singh.
Together, these developments point to a dual-track strategy: expanding access to reliable, low-cost content while cleaning up the communication ecosystem. As digital pipes get smarter and spam filters sharper, India’s airwaves may soon feel a lot less noisy and far more useful.
