US-based Silver Eagle Acquisition has agreed to acquire a minority stake in Indian pay-TV operator Videocon d2h.
Silver Eagle, an investment shell company founded by veteran entertainment executives to make investments in media properties, hopes to take Videocon d2h public in the US after the deal closes.
Silver Eagle will own between 33.5% and 38.6% of Videocon d2h for $300m (£197m, €251m) to $375m, the firms said in a statement.
Videocon d2h, part of the diversified Videocon Group, plans to list the American depositary shares it issues to Silver Eagle on the Nasdaq stock exchange, the companies said.
The deal will result in the first US-listed Indian pay-TV operator.
Based in Mumbai, India, Videocon d2h distributes over 500 digital TV channels and other video and audio services through direct satellite feeds.
Indian billionaire Venugopal Dhoot, chairman of Videocon Group that has interests in consumer electronics, telecoms and power, said the deal with Silver Eagle will give his satellite TV arm funds for development and expansion of its services.
In October 2014, Videocon d2h filed papers with the Indian market regulator for a planned Mumbai listing. The firm, according to the statement, had a subscriber base of 11.8 million, giving it a market share of about 16.5% of India's direct-to-home market (DTH) as of last 30 September, 2014.
Silver Eagle, founded by former Metro-Goldwyn-Mayer (MGM) boss Harry Sloan and veteran television executive Jeff Sagansky, raised $325m through an initial public offering in 2014.
Videocon d2h began operations in 2009.