Summary:

UTV Software Communications Ltd has sold 15 per cent stake in its broadcasting arm, UTV Global Broadcasting Ltd (UGBL), to Walt Disney (NYSE…

UTV Software Communications Ltd has sold 15 per cent stake in its broadcasting arm, UTV Global Broadcasting Ltd (UGBL), to Walt Disney (NYSE: DIS) Co Pte Ltd for $28.15 million. UGBL has allotted 3,00,000 equity shares to Walt Disney, said UTV Software informing the Bombay Stock Exchange. At the same time UTV Software allocated 1.5 million shares of UBGL to itself, constituting a 75 per cent stake in UBGL. These shares have been allotted at Rs 10 each for total consideration of $57 million (Rs 240 crore)The broadcasting arm is the parent company for its two wholly owned subsidiaries, Genx Entertainment Ltd and UTV Entertainment Television Ltd. Genx has already launched two youth channels through the Bindass brand while UTV Entertainment has launched two movie channels – World Movies and UTV Movies. Besides this it also runs a business news channel-UTVi- in which its waiting for FIPB nod to invest $10 million

Earlier this year UTV Software had diluted 37 per cent stake to Walt Disney Company for Rs 805 crore ($200 million), at a price of Rs 860 per share. UTV is nalo betting big on gaming and has lined up investment of $75 million into the gaming business. It also plans to acquire two companies in US to expand its gaming business. UTV Software also plans to release 12 movies this year.

This story was provided by our content partner VCCircle

Comments have been disabled for this post