ABP Open To Acquiring “Anything That Drives Traffic And Fetches Advertisements”

In an interview with Business Standard, Pramath Raj Sinha, MD & CEO of ABP Pvt Ltd says that they are looking for more partnerships and acquisitions (ed: after the Kaleidoscope deal). Cash flow is healthy, so funding is not a problem, but if required they could also consider an IPO. They’re in talks with organizations that would assist inorganic growth of their existing brands. He adds:

“We would foray into anything that drives traffic and fetches advertisements. This is because, more than 60 per cent of any media business is dependent on the advertisements it manages to collect.”

Post the Kaleidoscope deal, ABP is also in talks with telecom operators for video content on mobile. The economy is on an upswing, largely based on India’s consumption story. While the going is good, money is being invested (and being raised for investment) by media houses including HT, TV18 and NDTV in the Telecom/Internet and Media sectors – and in the marriage of the two. I’m just wondering if depending mainly on advertising is prudent, since in troubled times advertisors look to reduce Ad spends first, before considering any other cost-cutting measures?
Related:
ABP Buys Stake In Kaleidoscope Entertainment For Content
ABP Launches E-Commerce Portal In Tie-Up With SifyMall

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