Big news in the Balaji Production House: Reliance Industries decides to buy a stake of 25% in Balaji Telefilms for Rs 413 crore
Reliance Industries will make investments Rs. 413 Crores into Balaji telefilms. The deal is structured such that Balaji Telefilms would subject 2.5 Crore desire shares at Rs. 164 per share. This amounts to 24.9 per cent stake in Balaji telefilms for probably the most valued conglomerate. The promoter and promoter group shareholding is more likely to come right down to 32.5% after the share sale.
Reliance Industries will purchase 24.9% stake in Balaji Telefilms for a funding of Rs. 413 Crores. Balaji Telefilms will subject 2.5 Crore desire shares at Rs. 164 per share to Reliance Industries. This transfer comes after Balaji Telefilms and Reliance had been in talks to promote the stake of as much as 26% within the ALT Balaji Digital Media Entertainment subsidiary, as reported by Bloomberg. In response to the report, Balaji Telefilms has up to now invested near Rs 40 crore in ALT Balaji. The corporate had plans to take a position a complete Rs 150 crore over the subsequent three years to ramp up operations.
RIL mentioned in a press launch, ” RIL is engaged in the telecom, digital and media businesses. This investment in content production ( including digital content) is in line with RIL’s commitment to invest and grow in telecom, digital and media businesses.”
This growth assumes significance as Reliance Jio, the 4G entrant has a digital content material ecosystem play. It presents video on demand, Stay TV and streaming. Just lately launched Alt Balaji is a subscription video on demand platform, which has crossed over 4 million downloads globally. The probabilities of this enterprise look promising, as ALT Balaji continues to extend its subscriber base.
So it’s a wise transfer and we want it occurs out to be useful for each the large teams within the deal.