TU Media raises $74 million

TU Media Corp., the sole operator of satellite digital mobile broadcasting services in Korea, said yesterday it has raised 69.8 billion won ($74.7 million) in additional capital to bolster its nascent business.
The capital increase was carried out through the allotment of 10 million shares to its largest shareholder, SK Telecom Co., and U.S. satellite broadcasting company Echostar, the company said in a regulatory filing.
Top mobile operator SK Telecom invested 32.4 billion won, while Echostar invested 37.4 billion won, raising TU Media’s total capital to 288.2 billion won, it added.
Echostar, established in 1980, is the second-largest satellite broadcasting company in the United States, with 13 million subscribers. TU Media said the partnership with Echostar will help its ongoing efforts to make inroads in overseas markets.
TU Media launched the satellite digital multimedia broadcasting (S-DMB) service in 2005, which enables users to watch TV programs on a mobile device even while they are in motion. Earlier, the firm said it drew more than a million subscribers for the fee-based mobile broadcasting service. It hopes to raise the number to two million this year.