India-based online streaming platform MX Player is in discussions with internet group Tencent and payment processing firm Paytm regarding a $100m investment, Bloomberg reported yesterday, citing people familiar with the matter.
Tencent, Paytm and MX Player have all declined to comment on the report. Sources privy to the discussions told Press Trust of India the companies may end up investing up to $125m.
MX operates an over-the-top streaming service featuring original and licensed movies, television shows, web series, music videos and short-form content spanning 10 Indian languages as well as English. The company also maintains a regular video player for smartphones.
The service has attracted some 30 million users to date, with its audience primarily hailing from smaller towns across India. The video player has been installed on more than 500 million mobile devices around the world.
Times Internet, the digital arm of media conglomerate Bennett Coleman & Co, acquired a majority stake in MX in a $140m deal in June 2018. The company was originally developed by South Korea-based software developer J2 Interactive as a video player for the Android mobile operating system.
The Times Internet investment was made with the specific aim of launching a video streaming service, leading to MX’s pivot. MX does not appear to have raised funding prior to that deal.
