Homeshop18 & Shop CJ aggregate their businesses under the HomeShop18 umbrella
MediaInfoline February 16, 2018
Leading home-shopping players TV18 Home Shopping Network Limited (“HomeShop18”) and Shop CJ Network Private Limited (“Shop CJ”) have combined their businesses, thereby completing the transaction proposed in Sept 2017. This combination makes HomeShop18 the largest TV home-shopping network in India.
The resultant benefits of scale shall better the growth prospects for the combined entity, allowing it to improve its standing in the TV home-shopping landscape and compete better with the challenge from e-commerce players. HomeShop18 has optimized its operations substantially since the challenges faced in the last year. We believe multiple synergies with respect to sourcing, marketing and delivery can be exploited through a combination with Shop CJ, which shall further accelerate this process.
Pursuant to this transaction, Shop CJ shareholders hold 25% in the combined entity. HomeShop18 ceases to be a subsidiary of Network18 Media & Investments Ltd; however, Network18 shall continue to be the largest shareholder in the combined entity.