[Update] Exclusive: Amazon In Final Stages Of Acquiring MX Player From Times Internet For Over $100 Mn

Update | June 6, 03:30 PM

A week after Inc42 exclusively reported about Amazon acquiring MX Player, the ecommerce giant confirmed the development saying it has signed an agreement to purchase some assets of the video streaming platform. 

However, the company said that the transaction is not completed yet. 

“We are always looking for ways to introduce new products and services that help improve customers’ lives. We’re excited to continue to entertain India with the great local originals and exclusive content available across our Prime Video and miniTV services in India,” a spokesperson of Amazon said.

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Original Story | May 29, 16:30 PM

After months of delays and speculations, US-based ecommerce giant Amazon is in the final stages of acquiring Times Internet-owned video streaming platform MX Player.

Sources told Inc42 that the ecommerce major is acquiring MX Player in an all-cash deal for a little over $100 Mn. 

“Everything’s in place and the due diligence process is over. A formal announcement will be made within a week,” people aware of the matter said. 

Post the acquisition, MX Player’s senior management will join Amazon. 

A query mail sent to Times Internet didn’t elicit any response till the time of publishing this story. Amazon India was not immediately available for a comment. The story will be updated on receiving responses.

It is pertinent to note that cash-strapped MX Player has been in the market for nearly a year for an acquisition.

Founded in 2011 as a video player by a South Korean firm, MX Player was acquired by Times Internet in 2018 for about $140 Mn. It was eventually remodeled to an ad-supported video streaming platform. 

In 2019, it raised $110 Mn funding from Tencent, which was considered one of the largest funding rounds at that time. As per media reports, the platform was valued at around $500 Mn during its last fund raise. 

Karan Bedi is currently the CEO of MX Player. He has been helming the top post since 2017.

It is important to note that Times Internet has been divesting its assets for some time now. Last year, it sold MX Takatak, Dineout, MensXP, iDiva and Hypp.

Amazon Resumed Acquisition Talks This Year

It was first reported last year that Amazon was planning to acquire MX Player to bolster its advertisement-supported MiniTV service in India. During the same time, MX Player announced that its chief operating officer Nikhil Gandhi stepped down from his role. 

However, as per a Mint report, the deal failed because of due diligence and valuation mismatch, resulting in MX Player to look for funding in the private market. The talks for the acquisition resumed again earlier this year.

While MX Player’s financial statement for FY23 is not publicly available, it incurred a net loss of $100 Mn on a revenue of $36.8 Mn in FY22. 

MX Player claims to have more than 150 Mn active users in the country. It competes against the likes of Netflix, Disney+ Hotstar, Amazon Prime, and Apple TV in the crowded Indian OTT market.