CCI approves Tata Sons' additional 10% stake purchase in Tata Play

Fair trade regulator CCI on Monday cleared Tata Sons' proposed acquisition of an additional 10 per cent stake in DTH operator Tata Play from Singapore's sovereign wealth fund Temasek Holdings.

Currently, Tata Sons -- the promoter of Tata Group -- owns a 60 per cent stake in Tata Play.

"The proposed combination involves the acquisition of 10 per cent shareholding in Tata Play by Tata Sons," the Competition Commission of India (CCI) said in a release.

Tata Sons is an investment holding company, which is registered as a core investment company with the Reserve Bank of India and classified as a "Systemically Important Non-Deposit Taking Core Investment Company".

"Commission approves the acquisition of certain additional shareholding in Tata Play Ltd by Tata Sons Pvt Ltd from Baytree Investments (Mauritius) Pte Ltd," the regulator said.

Baytree Investments (Mauritius) is an affiliate of Singapore's sovereign wealth fund Temasek Holdings.

Pursuant to the approval by CCI, Tata Sons will have a 70 per cent holding in the entertainment content distribution platform.

Tata Play (formerly Tata Sky) is one of India's leading content distribution platforms providing Pay TV and over-the-top (OTT) services through Tata Play Binge, an OTT platform.

Deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices and promotes fair competition in the marketplace.