ITV

Category: Cable TV

  • Ortel IPO opens amidst buoyant stock market conditions

    Ortel IPO opens amidst buoyant stock market conditions

    MUMBAI: The Ortel Communications issue opened on 3 March. At  the price band of Rs 181-200, the cable TV last mile operator (LMO) is offering 9.5 million shares to the public. National Stock Exchange data showed that the issue had been subscribed 0.15 times by end of day one of the offer. The company plans to use the money  raised through the issue to deepen the penetration of its cable TV and broadband offering in the geographical regions it is present i.e. Odisha, Chhattisgarh, Andhra Pradesh and West Bengal ; increasing digitisation of its cable TV subscriber base (currently 20 per cent of its analogue universe has been digitised), upgrading technology for its broadband service; buying out of local cable operators and networks, and leasing fibre infrastructure to corporates.

    At the time of writing, the IPO had received a mixed response from the investing community and research analysts. While one group says the price band is too high, another bunch has expressed that the Ortel stock has long legs and could go far. 

    Says a bullish observer: “The Ortel IPO offer is at 10 times EBIDTA for FY 2015. That’s pretty fair compared to 17 times EBIDTA for Hathway Cable & Datacom and seven times EBIDTA for DEN Networks,” says a research analyst. “We see the share appreciating after listing.”

    However, a bear stated that Hathway was quoting in the Rs 60-65 range, while DEN was in the Rs 120 band. “The Ortel price is too high when you compare it to what these stocks have notched up,” she said. “We expect to pick up Ortel after listing when we believe the overpricing will get corrected.”

    An ICICI Direct IPO review pointed out that Ortel’s low subscriber base of 0.5 million cable TV homes puts it at a competitive disadvantage against national MSOs such as DEN and Hathway which have 12 million subscribers each. 

    But another industry expert  points out that Ortel owns most of its subscriber base, aka as the last mile, which means it will reap the digital dividend and the moolah will straightaway accrue to its top line, and bottom line as it digitally connects more of them.

    He also points out to the low floating stock of Ortel that is on offer, which is likely to keep the price buoyant.

    At the time of writing, a positive sentiment had been ruling on the stock market with the National Stock Exchange Nifty  crossing an important threshold that of the 9,000 barrier which it did during intraday trading only to fall back to 8996 by close.

    The anchor investors for the IPO are Axis Mutual Fund (900,000 shares) and ICICI Prudential Life Insurance (1.657 million shares), while Kotak Mahindra Capital is managing the issue.

    The next two days (the issue is slated to close on 5 March) will throw clarity on which sentiment will hold its sway on investors during Ortel’s offering. 

  • Axis Mutual, ICICI Life are anchor investors for Ortel IPO; allotted 28.42% of QIB portion

    Axis Mutual, ICICI Life are anchor investors for Ortel IPO; allotted 28.42% of QIB portion

    BENGALURU: In its Red Herring Prospectus Ortel Communications had mentioned that out of the 90 lakh shares that form the QIB (qualified institutional bidders) portion of its IPO that opens tomorrow, up to 54 lakh equity shares (60 per cent of QIB portion) would be allotted to anchor investors on the anchor investment bidding date in consultation with the book running lead manager. Further, of the remaining 36 lakh equity shares of the QIB portion, at least 1.8 lakh shares would be allocated to mutual funds.

     

    The anchor investor bidding date was today – 2 March, 2014. The company has allotted 25.57425 lakh equity shares (28.416 per cent of QIB portion) at the rate of Rs 181 per share aggregating Rs 46.29 crore to Axis Mutual Fund and ICICI Prudential Life Insurance. It may be noted that the allotment is at the lowest price of the price band.

     

    The breakup of the anchor allotment is as follows: Axis Mutual Fund’s (Midcap Fund scheme) was allotted six lakh shares (23.46 per cent); Axis Mutual Fund (Small Cap Fund scheme) was allotted three lakh shares (11.73 per cent) and ICICI Prudential Life Insurance Co Ltd was allotted 16.57425 lakh shares (64.81 per cent) aggregating to 25.57425 lakh shares.

     

    Ortel Communications Limited (Ortel) IPO that is to open tomorrow, March 3, 2015, is for up to 1.2 crore (12 million) equity shares of face value of Rs 10 each including a share premium per equity share. The price band is fixed from Rs 181 to Rs 200 per equity share. The issue constitutes 39.25 per cent of Ortel’s fully diluted post-issue paid up equity share capital and includes up to 60 lakh fresh issue shares and 60 lakh shares by the selling shareholder NSR-PE Mauritius LLC.

     

    The funds raised through the IPO would be utilized for expansion of its network for providing video, data and telephony services; capital expenditure on development of digital cable services; capital expenditure on development of its broadband services; and general corporate purposes.

  • FY-2014: Charter Communications reports loss of $183 million

    FY-2014: Charter Communications reports loss of $183 million

    BENGALURU: US cable television, high-speed Internet, and telephone services company Charter Communications, Inc (Charter) reported 5.7 per cent lower loss at $183 million for FY-2014 as compared to the $194 million in FY-2013. For the quarter ended December 31, 2015 (Q4-2014, current quarter) the company reported loss of $48 million versus a net income of $39 million in the corresponding year ago quarter.

     

     For the year ended 31 December, 2014, revenues rose to $9.1 billion, 8.2 per cent higher on a pro forma basis than in 2013, driven by continued growth in Internet, video and commercial revenues. On an actual basis, full year 2014 revenues rose 11.7 per cent year-over-year. 

     

    Fourth quarter 2014 revenues rose to $2.4 billion, 9.9 per cent higher than the year-ago quarter, driven primarily by growth in Internet, video and commercial revenues says the company. 

     

    Video revenues totalled $1.1 billion in the fourth quarter, an increase of 8.1 per cent compared to the prior year period. Video revenue growth was driven by higher expanded basic and digital penetration, annual and promotional rate adjustments, higher advanced services penetration, and revenue allocation from higher bundling, partially offset by a decrease in residential limited basic video customers.

     

    Internet revenues grew 13.5 per cent compared to the year-ago quarter to $670 million, driven by an increase of 383,000 Internet customers during the last year and by promotional rolloff, legacy price adjustments and revenue allocation from higher bundling.

     

    Voice revenues totalled $139 million, a decline of 9.7 per cent versus the fourth quarter of 2013, due to value-based pricing and revenue allocation from higher bundling, partially offset by the addition of 166,000 voice customers in the last twelve months.

     

    Commercial revenues rose to $262 million, an increase of 16.1 per cent over the prior-year  period, and was driven by higher sales to small and medium business customers and to carrier customers. 

     

    Fourth quarter advertising sales revenues of $107 million increased 28.9 per cent compared to the year ago quarter, primarily driven by an increase in political advertising revenue. Excluding the benefit of political advertising revenue generated in the fourth quarter of 2014, and during the corresponding prior-year period, total fourth quarter advertising sales revenues grew by approximately 8.9 per cent year-over-year.

     

    Customer numbers 

     

    During the fourth quarter of 2014, Charter’s residential customer relationships grew by 73,000, with triple play sell-in improving year-over-year, to 62 per cent of total residential video sales. Commercial customer relationships grew by 6,000 in the fourth quarter of 2014. Residential PSUs increased by 157,000, while commercial PSUs increased 14,000 during Q4-2014.

     

    During Q4-2014, Charter says that it continued to introduce its new product suite, Charter Spectrum, in markets that were recently converted to all-digital. Charter customers in these markets now have access to an industry-leading suite of video, data, and voice services that includes over 200 HD channels, in addition to minimum offered Internet speeds of 60 Mbps, and a fully featured voice service, delivered at a highly competitive price. Charter Spectrum is available to new Charter customers, and to existing customers within the Company’s new pricing and packaging structure launched in 2012. As of the end of Q4-2014, the company claims that 86 per cent of residential customers were in Charter’s new pricing and packaging, excluding customers in the former Bresnan properties.

     

    Residential video customers increased by 3,000 in Q4-2014, versus a loss of 2,000 in the year-ago period. For the past two years Charter says that it has significantly increased the competitiveness of its video product, by including more HD channels and video on demand offerings, attractive packaging of advanced services, improved selling methods, and enhanced service quality.

     

    Charter added 104,000 residential Internet customers in Q4-2014, compared to 93,000 a year ago. As of December 31, 2014, 80 percent of Charter’s residential Internet customers subscribed to tiers that provided speeds of 60 Mbps or more informs Charter.

     

    During the Q4-2014, the company added 50,000 residential voice customers, versus a gain of 56,000 during Q4-2013. Fourth quarter residential revenue per customer relationship totalled $111.52, and grew by 3.1 per cent as compared to the prior-year period, driven by rate adjustments, higher product sell-in and promotional rate step-ups, partially offset by continued single play Internet sell-in and bulk digital upgrades. In September 2014, Charter increased its broadcast TV surcharge. Excluding this rate adjustment, residential revenue per customer relationship grew by 2.2 per cent year-over-year.

  • FY-2014: Comcast Corporation’s consolidated revenue up 6.4%

    FY-2014: Comcast Corporation’s consolidated revenue up 6.4%

    BENGALURU: Comcast Corporation’s consolidated revenue increased 6.4 per cent, operating cash flow increased 6.9 per cent, Operating Income increased 9.9 per cent and Free Cash Flow exceeded $ 8 billion in FY2014. 

     

    Earnings per share increased 25.0 per cent to $ 3.20; Excluding Adjustments, EPS increased 18.6 per cent to $ 2.93.

     

    Cable communications revenue increased 5.5 per cent and operating cash flow increased 5.3 per cent.

     

    Customer relationships increased by 358,000, a 67 per cent improvement compared to 2013.

     

    NBCUniversal revenue increased 7.5 per cent and operating cash flow increased 18.1 per cent. 

     

    4th Quarter 2014 Highlights:

     

    Consolidated revenue increased 4.8 per cent, operating cash flow increased 4.1 per cent and operating income increased 3.8 per cent.

     

    Earnings per share increased 2.8 per cent to US$ 0.74; excluding adjustments, EPS increased 16.7 per cent to US$ 0.77.

     

    Cable communications revenue increased 6.1 per cent and operating cash flow increased 6.3 per cent.

     

    Customer relationships increased by 178,000, a 47 per cent increase from the fourth quarter of 2013.

     

    NBCUniversal revenue increased 2.3 per cent and operating cash flow increased 6.6 per cent. 

     

    Comcast chairman and CEO Brian L. Roberts said, “2014 was a great year financially, operationally, and strategically for Comcast NBC Universal. We continued to execute incredibly well as we accelerated our innovation, launched new products, and brought amazing films, shows and theme park attractions to consumers. Cable’s results, driven by High-Speed Internet and Business Services, demonstrate our focus on driving profitable growth and technology innovations, including our transformative X1 platform. This is bearing fruit in our operating performance, as we added 358,000 customer relationships, while video subscriber trends were the best in 7 years and in broadband we added over 1 million subscribers for the ninth year in a row. NBCUniversal also had a standout performance in 2014, with 18 percent growth in operating cash flow, driven by a successful Sochi Olympics, continued momentum at NBC Broadcast, the successful opening of The Wizarding World of Harry Potter – Diagon Alley in Orlando, and strong box office performance from Universal Pictures. We enter 2015 with great momentum and significant opportunities ahead, and we look forward to receiving regulatory approval for the Time Warner Cable merger. Underscoring our confidence in the continued success of our company, we are increasing our dividend to US$ 1.00 per share on an annualized basis, marking the seventh consecutive annual increase, and plan to repurchase at least US$ 4.25 billion of our stock this year.”

     

    Cable Communications

     

    Revenue for Cable Communications increased 6.1 per cent to US$ 11.3 billion in the fourth quarter of 2014 compared to US$ 10.7 billion in the fourth quarter of 2013, driven by increases of 9.9 per cent in high-speed internet and 20.8 per cent in business services. Advertising revenue increased 18.9 per cent, reflecting higher political advertising in the fourth quarter of 2014. The increase in cable revenue reflects increased customer relationships (see below), customers receiving higher levels of service, customers taking additional services, as well as rate adjustments.

     

    For the year ended 31 December, 2014, cable revenue increased 5.5 per cent to US$ 44.1 billion compared to US$ 41.8 billion in 2013, driven by growth in high-speed internet, business services and advertising.

     

    Customer relationships increased by 178,000 to 27.0 million during the fourth quarter of 2014, a 47 per cent improvement compared to an increase of 121,000 in the fourth quarter of 2013. At the end of the fourth quarter, the triple product customers increased to 37 per cent of the company’s total customer relationships compared to 35 per cent in the fourth quarter of 2013. In addition, video, high-speed internet and voice customers increased in the fourth quarter of 2014.

     

    For the year ended 31 December, 2014, customer relationships increased by 358,000, a 67 per cent improvement compared to net additions of 215,000 in 2013. Video customer net losses improved year-over-year and were the best result in seven years.

     

    High-speed internet customer net additions of 1.3 million marked the ninth consecutive year of more than one million net additions. Voice net additions slowed, reflecting X1 availability that was more focused on triple play customers last year, making for a difficult comparison.

     

    NBC Universal

     

    Revenue for NBC Universal increased 2.3 per cent to US$ 6.6 billion in the fourth quarter of 2014 compared to US$ 6.5 billion in the fourth quarter of 2013, as revenue growth in Theme Parks and Broadcast Television was partially offset by lower Filmed Entertainment revenue driven by a year-over-year decline in home entertainment revenue. Operating Cash Flow increased 6.6 per cent to US$ 1.4 billion compared to US$ 1.3 billion in the fourth quarter of 2013, driven by strong results at Theme Parks and Broadcast Television.

     

    For the year ended 31 December, 2014, NBC Universal revenue increased 7.5 per cent to US$ 25.4 billion compared to US$ 23.7 billion in 2013. Excluding US$ 1.1 billion of revenue generated by the Sochi Olympics in the first quarter of 2014, revenue increased 2.9 per cent.

     

    Operating cash flow increased 18.1 per cent to US$ 5.6 billion compared to US$ 4.7 billion in 2013. Excluding US$ 130 million of operating cash flow generated by the Olympics, operating cash flow increased 15.3 per cent, reflecting solid results at each business segment.

     

    Cable Networks

     

    For the fourth quarter of 2014, revenue from the Cable Networks segment was stable at US$ 2.3 billion and operating cash flow decreased 1.8 percent to US$ 912 million compared to the fourth quarter of 2013. These results reflect a 5.6 percent decline in advertising revenue along with a slight increase in operating costs driven by investment in programming, which more than offset a 4.6 percent increase in distribution revenue.

     

    For the year ended December 31, 2014, revenue from the Cable Networks segment increased 3.9 percent to US$ 9.6 billion compared to US$ 9.2 billion in 2013. Excluding US$ 257 million of revenue generated by the 2014 Sochi Olympics, revenue increased 1.1 percent, reflecting a 4.6 percent increase in distribution revenue, partially offset by a 3.5 percent decrease in advertising revenue. Operating cash flow increased 2.5 percent to US$ 3.6 billion compared to US$ 3.5 billion in 2013. Excluding the Olympics, operating cash flow increased

     

    2.2 percent, reflecting higher revenue and flat operating costs, even as we continue to invest in programming.

     

    Broadcast Television

     

    For the fourth quarter of 2014, revenue from the Broadcast Television segment increased 4.8 percent to US$ 2.3 billion compared to US$ 2.2 billion in the fourth quarter of 2013, driven by a 3.1 percent increase in advertising revenue, as well as higher retransmission consent fees. Operating cash flow increased 64.0 percent to US$ 230 million compared to US$ 140 million in the fourth quarter of 2013, reflecting higher revenue, which more than offset a slight increase in operating costs and expenses.

     

    For the year ended December 31, 2014, revenue from the Broadcast Television segment increased 20.0 percent to US$ 8.5 billion compared to US$ 7.1 billion in 2013. Excluding US$ 846 million of revenue generated by the 2014 Sochi Olympics, revenue increased 8.1 percent, reflecting higher advertising revenue and retransmission consent fees. Operating cash flow increased US$ 389 million to US$ 734 million compared to US$ 345 million in 2013. Excluding the Olympics, operating cash flow increased US$ 272 million, or 78.6 percent, reflecting higher revenue and a modest increase in operating costs and expenses.

     

    Filmed Entertainment

     

    For the fourth quarter of 2014, revenue from the Filmed Entertainment segment decreased 10.6 percent to US$ 1.3 billion compared to US$ 1.4 billion in the fourth quarter of 2013, reflecting a decline in home entertainment revenue primarily due to the strong performance of Despicable Me 2 in the fourth quarter of 2013. Operating cash flow decreased US$ 115 million to US$ 77 million compared to US$ 192 million in the fourth quarter of 2013, reflecting lower revenue, partially offset by a decrease in the amortization of film costs.

     

    For the year ended December 31, 2014, revenue from the Filmed Entertainment segment decreased 8.2 percent to US$ 5.0 billion compared to US$ 5.5 billion in 2013, reflecting lower theatrical and home entertainment revenue, primarily due to the strong performances of Despicable Me 2 and Fast and Furious 6 in 2013. Operating cash flow increased US$ 228 million to US$ 711 million compared to US$ 483 million in 2013, as lower revenues were more than offset by a decrease in the amortization of film costs and reduced advertising, marketing and promotion expense due to a reduced film slate.

     

    Theme Parks

     

    For the fourth quarter of 2014, revenue from the Theme Parks segment increased 29.9 percent to US$ 735 million compared to US$ 566 million in the fourth quarter of 2013, reflecting higher guest attendance and per capita spending, driven by the continued success of Orlando’s The Wizarding World of Harry Potter™ – D iagon Alley™, as well aHsa lloween Horror Nights at the Orlando and Hollywood parks. Fourth quarter operating cash flow increased 37.6 percent to US$ 352 million compared to US$ 257 million in the same period last year, reflecting higher revenue, partially offset by an increase in operating costs to support the new attractions.

     

    For the year ended December 31, 2014, revenue from the Theme Parks segment increased 17.3 percent to US$ 2.6 billion compared to US$ 2.2 billion in 2013. Operating cash flow increased 16.4 percent to US$ 1.2 billion compared to US$ 1.0 billion in 2013, driven by The Wizarding World of Harry Potter – Diagon Alley and Despicable Me attractions.

  • SN Sharma joins Reliance Jio

    SN Sharma joins Reliance Jio

    MUMBAI: It was a shocker when the news of multi system operator (MSO) Den Networks CEO SN Sharma quitting the company broke. Now, after months of speculation about his next move, Sharma has made the decision.

     

    The man credited with creating one of the biggest MSO network, Den Networks, will now be looking into the day to day operations of Reliance Jio. Confirming the news to Indiantelevision.com, Sharma said, “Yes, I have joined Reliance Jio.”

     

    Reporting into Reliance Jio CEO K. Jayaraman, Sharma will be an integral part of the top management. 

     

    Sharma joined office starting 23 February but whether he will continue operating from Delhi, will be decided at a later stage.

     

    With Reliance Jio awaiting approvals for the pan India MSO licence, the company is rapidly strengthening its team. 

     

    During his stint at Den Networks, Sharma’s vision of growth through consolidation and digitisation had laid the foundation for the company. He also spearheaded Den Networks’ rapid growth with his visionary leadership and execution abilities. He was also the driving force behind taking the company into the digital era.

     

    He has nearly three decades of experience during which he has been associated with the electronic media industry for over 20 years.

  • Ortel to increase cable TV penetration, broadband with IPO funds

    Ortel to increase cable TV penetration, broadband with IPO funds

    MUMBAI: Odisha based last mile owner (LMO) Ortel Communications, which filed its Red Herring Prospectus (RHP) for a public issue on 21 February, has now announced the price band of Rs 181-Rs 200 per equity share.

     

    As reported first by Indiantelevision.com, the LMO will open the public issue of up to 12 million equity shares of face value of Rs 10 each including a share premium per equity share on 3 March. The issue comprises a fresh issue to the public of up to six million equity shares and an offer for sale up to six million equity shares by New Silk Route (NSR). The bid will close on 5 March.

     

    The minimum bid lot is 75 equity shares and in multiples of 75 equity shares thereafter. The issue constitutes 39.25 per cent of the fully diluted post-issue paid up equity share capital of the company.

     

    In a press conference, held in Mumbai on 24 February, the LMO said that the company and the selling shareholder may, in consultation with the Book Running Lead Manager, allocate up to 60 per cent of the QIB portion to anchor investors at the Anchor Investor Allocation Price, on a discretionary basis, out of which at least one-third will be available for allocation to domestic mutual funds only. Anchor investors can bid on 2 March.

     

    “The issue is being made through the Book Building Process in compliance with the provisions of Regulation 26(2) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended, wherein at least 75 per cent of the issue shall be allotted on a proportionate basis to Qualified Institutional Buyers (QIB). In the event of under-subscription or non-allocation in the Anchor Investor Portion, the balance equity shares shall be added to the net QIB potion. Such number of equity shares representing five per cent of the net QIB portion shall be available for allocation on a proportionate basis to mutual funds only. The remainder of the net QIB portion shall be available for allocation on a proportionate basis to QIBs,” says the company release.

     

    “However, if the aggregate demand from mutual funds is less than 180,000 equity shares, that is five per cent of the net QIB portion, the balance equity shares available for allocation in the mutual fund portion will be added to the net QIB portion and allocated proportionately to QIBs in proportion to their bids. If 75 per cent of the issue cannot be allocated to QIBs, all the application monies will be refunded forthwith. Further, not more than 15 per cent of the issue shall be available for allocation on a proportionate basis to non-institutional bidders and not more than 10 per cent of the issue shall be available for the allocation to retail individual bidders, subject to valid bids being received from them at or above the issue price,” it further reads.

     

    Ortel Communications, through the IPO, is looking at strengthening its presence in the current four states, including Odisha, Chhattisgarh, West Bengal and Andhra Pradesh as well as expanding to other neighbouring regions. The LMO currently offers services in 48 towns with over 21,600 km of cable supported by 34 analogue and five digital headends.

     

    When asked about the reason for raising capital, Ortel Communications chairman BJ Panda said, “We have already gone for three rounds of private equity funding. Ours is a CAPEX heavy business. As we go forward, it is essential to have public presence. The time has come, when the company has some currency to scale up.”

     

    The revenue generated through the IPO will be used for:

     

       –  Deeper penetration: Ortel plans to expand its penetration in not only the existing markets, but also new geographies. “The plan is to grow the number of subscribers,” said Panda.

     

      –   Increasing penetration of digital TV: As the nation is moving towards digitisation, Ortel Communications currently has converted 20 per cent of analogue homes to digital homes. The revenue generated will be used at slowly increasing the number of digital homes.

     

       –  Increasing Broadband: Currently 11 per cent of Ortel’s total subscribers are broadband consumers. The aim now is to take this up. The LMO currently provides data services at a speed of up to 42.88 mbps through the use of cable modem with DOCSIS 2.0. “We are in the process of upgrading the modems to DOCSIS 3.0. This is currently being tested, and has the capacity of providing broadband at a speed of over 340 mbps,” informed Ortel Communications president and CEO Bibhu Prasad Rath.

     

      –  Expand: By buyout of local cable operators and networks. The company so far has entered into agreements with over 490 MSOs/LCOs between April 2009 to December 2014, resulting in an acquisition of 221,155 cable television subscribers.

     

      –   Leasing fibre infrastructure to corporates.

     

    As of 31 December, 2014, the company has 372,979 retail subscribers for analogue cable TV services, 95, 295 retail subscribers for our digital cable services and 58,277 broadband subscribers, including 121 corporate customers with provisioned bandwidth of 806 mbps adding up to 526,551 Revenue Generating Units (RGUs).

     

    For the six months period ending 30 September, 2014, the company’s total income was Rs 719.34 million and its PBDIT was Rs 252.39 million. In the same period, carriage and placement revenue contributed 17.11 per cent of the total revenues from operations. The trade receivables were at Rs 216.50 million i.e. 15.05 per cent of total income annualised, which according to the company, was substantially lower than other listed national MSOs.

  • Reliance Jio awaits security clearance for pan India MSO licence

    Reliance Jio awaits security clearance for pan India MSO licence

    NEW DELHI: Despite announcements by the Information and Broadcasting Ministry about expediting clearances, several proposals by private multi-system operators have remained pending for long periods either with the I&B or the Home Ministry. 

     

    However, I&B secretary Bimal Julka told Indiantelevision.com today that a letter had been sent to the Home Ministry to expedite security clearances, so that the DAS targets could be met.

     

    The Ministry said a proposal by Reliance Jio for registration as a multi-system operator (MSO) under the digital addressable system was sent to the Home Ministry on 2 Feburary for security clearance.

     

    The representative of Reliance Jio, Abhishek Soni, was told that the Home Ministry will take some time to furnish comments/security clearance.

     

    CAT Vision, during a recently held open house meeting, was told that a reminder was being sent to the Home Ministry in its case. Signum Digital Network was also given the same assurance.

     

    Digirevo Networks received a similar response to its query at the open house meeting.   

     

    Indiverse Broadband was told that its request for foreign direct investment (FDI) had been turned down by the Finance Ministry. Its representative said the company had already informed the I&B Ministry in June last year that it no longer needed FDI. However, it was informed by the Ministry officials that no such response had been received from the company.

  • Ortel Communications files RHP for public issue

    Ortel Communications files RHP for public issue

    MUMBAI: Odisha based last mile owner (LMO) Ortel Communications has filed the Red Herring Prospectus (RHP) for a public issue.

     

    Confirming the same to Indiantelevision.com, Ortel Communications president and CEO Bibhu Prasad Rath said, “Yes, the RHP has been filed and the issue is scheduled to open on 3 March.”

     

    The company had filed for the Draft Red Herring Prospectus (DRHP) in September 2014.

     

    The LMO is looking at a primary issue of 60 lakh shares and sale of another 60 lakh share by New Silk Route, which currently owns 35 per cent share in the company.

     

    The IPO, which is being handled by Kotak Mahindra Capital, may raise close to Rs 250 crore. Ortel Communications will be utilising the funds for expansion of its network for providing video, data and telephony services. Additionally the company is also looking at developing its digital cable and broadband services with the infusion of funds.

     

    This issue is being made through the book building process wherein at least 75 per cent of the Issue shall be allotted to qualified institutional bidders (QIBs) on a proportionate basis out of which five per cent of the QIB portion (excluding the anchor investor portion, which shall be allocated on a discretionary basis) shall be available for allocation on a proportionate basis to mutual funds only, and the remainder shall be available for allocation on a proportionate basis to all QIB bidders, including mutual funds, subject to valid bids being received at or above the issue price.

     

    Further, not more than 15 per cent of the issue will be available for allocation on a proportionate basis to non-institutional bidders and not more than 10 per cent of the Issue will be available for allocation to retail individual bidders, subject to valid bids being received at or above the issue price.

     

    Attached is the PDF

  • Cisco Video Technologies India bullish on growth in phase III & IV of cable TV digitisation

    Cisco Video Technologies India bullish on growth in phase III & IV of cable TV digitisation

    KOLKATA: Cisco Video Technologies India, an information technology (IT) company, which had garnered a market share of around 51 per cent in the first two phases where more than 40 million cable TV homes were digitised in India, is looking at achieving the same market share in the remaining phases of digitisation, i.e. phase III and IV, which is mandated to be completed by end of December 2016.

     

    The company is bullish on growth from the Indian cable TV digitisation market, said a company official in Kolkata.

     

    Talking about the trends of digitisation taking place in phase III and IV, which includes rural places and non-metro locations, an official from the US-based technology major said that there are certain pockets in the country, which are looking for high end services and are not just eager to install set top boxes (STBs).

     

    Speaking on the sidelines of the Cable TV Show 2015 in Kolkata, Cisco senior product manager Aunindo Ghosh said, “In the next two phases there is a requirement of 75 million homes to be digitised and if not more, we will aim to maintain the same market share of around 51 per cent.”

     

    Also, with the demand of digitisation coming from municipal and rural areas in the phase III and IV across the country, the headend market is redefining itself in India. Cisco, in order to cater to these two phases, has done several innovations to enhance the consumer experience.

     

    Cisco Videoscape transforms the video technologies around the world by providing high-impact video experiences. “With Cisco Videoscape customers can not only compete, but have the potential to lead the market as it will help them to grow their business by attracting more revenue per user with spectacular video experiences. Cisco recognises that each market and subscriber base calls for different subscriber experiences and therefore, includes a range of end-to-end solutions,” said Ghosh.

     

    Highlighting the challenges in phase III and IV, Ghosh said that it would be a bit difficult for the company to spread awareness, while stressing on the fact that these phases are low ARPU markets.

     

    Talking about the phase I and II of digitisation of cable TV, he said those two phases were implemented in the right frame of mind. “The players adhered to the MIB rules. Phase I and II were well coordinated,” Ghosh said.

     

    Some of the clients of Cisco are Siticable, Hathway, Den, KCBPL-GTPL, and Patna-based Darsh among others. Cisco is also looking at offering its “Videoscape Express” – integrated services to cable TV operators by upgrading its existing networks.

  • WGA & Congressman Cardenas oppose Comcast-Time Warner Cable merger

    WGA & Congressman Cardenas oppose Comcast-Time Warner Cable merger

    MUMBAI: Congressman Tony Cardenas (CA-29) added his voice to the growing list of public officials, consumer groups and businesses that are opposed to allowing Comcast’s acquisition of Time Warner Cable. During a briefing held at the headquarters of the Writers Guild of America, West (WGAW) and attended by representatives of legislative offices from across the L.A. region, Cardenas officially stated his opposition to the deal.

     

    “Today I announce my strong opposition to the Comcast-Time Warner Cable merger. I ask the FCC, the DOJ, and the California Public Utilities Commission to deny this merger because it is bad for consumers, will harm competition, will lead to less diverse content, more expensive cable and internet access, and will eliminate good jobs in California. If approved, the Comcast-Time Warner Cable merger will drastically change the landscape for media and broadband internet service in America. The pending merger between Comcast and Time Warner Cable will enable an increased market dominance that will have a particularly negative impact on diversity of content and minority communities,” said Cardenas.

     

    “Mergers that increase the power of content gatekeepers do not serve the interests of consumers or creators. Comcast has already stated that if the merger is allowed it will save money by paying less for content. This means that programmers will have less money to invest in content, which means less creativity, less innovation and less product. This could translate into fewer jobs, including right here in Los Angeles. While approval of this deal once seemed an inevitable outcome, the issues raised here today and over the last year make clear that the appropriate action for state and federal regulators is to say no to the merger,” added WGAW president Chris Keyser.

     

    Presentations given by the WGAW, The Greenlining Institute, Entravision Communications Corporation, Sports Fans Coalition, and Presente.org detailed the far-reaching effects the merger will have on consumers, independent programmers and content creators, diverse communities, sports fans, and businesses throughout the Southland. New research conducted by the WGAW concludes that should the merger take place, Comcast’s increased buyer power as a distributor of television and the Internet will lead to higher prices for consumers, fewer content choices and less diverse and innovative content. Virtually no one in the L.A. region will be left untouched by this mega-merger.

     

    L.A. Consumers are almost certain to face higher prices for cable and Internet service, more restrictions on how they can access the content they want and worse customer service. Local consumers will have little choice but to accept this new reality because for 72 per cent of Los Angeles County residents living in Comcast’s proposed footprint, Comcast will be the only choice for high-speed broadband.

     

    Latinos across the country and here in Los Angeles will be harmed if this merger is approved. Comcast’s acquisition of Time Warner Cable would allow it to reach more than 90 per cent of Latino households nationally and become the dominant pay TV provider in LA, the largest Latino media market. Comcast will have make or break power over programmers trying to reach this audience. In addition, the company’s higher prices will hit local Latino consumers even harder, because with a median income of $21,314, compared with $44,929 for Anglo-Americans, they make significantly less than their white counterparts.

     

    Moreover, 78 per cent of African American residents and 73 per cent of Asian residents living in Comcast’s proposed LA County footprint will have no other choice for broadband service that offers speeds of 25 Mbps or faster.

     

    Local sports fans can expect higher prices or less access to home team games if the merger is approved. Already, 70 per cent of Angelenos do not have access to the local Dodgers channel because of Time Warner Cable’s anticompetitive pricing policies. The problem will only get worse if Comcast takes over Time Warner Cable and Charter systems locally because the bigger the cable provider gets, the more it charges competitors for access.

    The Creative Community will see Comcast increase its ability to pay less for programming and strangle the growth of online video, threatening the new “golden age of programming” we are currently living in.

     

    Independent and Diverse Programmers will face a larger, vertically integrated distributor that controls 30 per cent of the pay TV market and 50 per cent of the high-speed broadband market, giving it tremendous bargaining power over programmers. For Latino-oriented independent programmers, the situation is even worse because Comcast owns several Spanish-language networks and has both the incentive and ability to limit content competition.