The multi-system-operator or MSO company GTPL Hathway may soon be acquired by Reliance Industries Ltd. GTPL Hathway primarily rules the market of Gujarat. Reliance Industries Ltd or RIL has already announced that the company will acquire Datacom and DEN Networks and Hathway Cable. These are the major companies of broadband service and cable network in India.
37.3% of the share of GTPL Hathway is owned by Hathway. Therefore, RIL has acquired 19% of the stake of GTPL Hathway as soon as it acquired 51.3% of the stake of Hathway in exchange for 2,940 Cr.
According to a company official, RIL is already the owner of 19% stake of GTPL Hathway and the company now wants to acquire more than 25% of the share that is owned by Hathway. If the acquisition becomes a success, it will boost the RIL project JioGigaFiber. The objective of the project is to link 50 Ml users across 1,100 metropolises in India.
As per an associate of the company, once Reliance Industries Ltd has declared an open offer, chances are that no other company will subscribe to that. Therefore, RIL has the chance to close the deal successfully.
GTPL Hathway has more than 4 million users and 67% market share in the Indian state Gujarat. The second huge market of the company is in West Bengal where the company has 24% of the market share. GTPL Hathway is spread across 11 states and 500 cities. It works with almost 20 thousand cable operators.