Competition watchdog may get in the way of proposed Zee-Sony merger
The Competition Commission of India has sent a notice to Sony and Zee networks over the possibility of their proposed India merger hurting competition through “unparalleled bargaining power”, according to a Reuters report . In a 21-page notice, the watchdog said the proposed deal would place the combined entity in a "strong position" with around 92 channels in India. “Such apparently humongous market position would enable the combined entity to enjoy an unparalleled bargaining power," the CCI observed, adding the networks could increase the price of channel packages. Noting that its initial review merits further investigation, the commission gave the two companies 30 days from August 3 to respond. The Indian unit of Japan’s Sony and Zee Entertainment had in December decided to merge their media assets to create a powerhouse in a key media and entertainment growth market. The CCI's findings will delay regulatory approval of the deal and could force the companies