RCom may merge its DTH and IPTV business with Digicable Network Private Limited. The deal if goes through will be an all stock deal.
RCom will spinoff its DTH business into a seperate entity, which will be merged with Digicable. RCom will hold 60% stake in the merged entity while the balance 40% stake will be with the shareholders of Digicable.
With this deal, Digicable will get access to RCom's optical fibre network and in turn, Rcom will gain access to Digicable's wide customer base.
Transaction Reference: ET