Star India to buy more stakes in Tata Sky

Star India is reportedly planning to raise its holding in direct-to-home broadcaster Tata Sky by taking advantage of foreign investment rule changes made about a year ago.

According to the reports, the Rupert Murdoch-controlled company has asked the Foreign Investment Promotion Board for permission to buy a 49% stake in TS Investments, an investment firm of the Tata Group, which, in turn, will buy a 20% stake in Tata Sky for Rs 324 crore.

Reorts suggest that Tata Sky, which has 4.5 million subscribers sold a 10% stake for $56 million to Temasek in 2007. Star India owns 20% and the Tatas.