Walt Disney completes investment of Rs. 1.18 billion for a 15% stake in UTV Global Broadcasting Ltd (UGBL)
The Walt Disney Company has completed an investment of Rs. 1.18 billion into UTV Global Broadcasting Limited ('UGBL') for a 15% stake, announced in February 2008. UGBL has allocated 300000 equity shares to The Walt Disney Company (Southeast Asia) Pte Ltd ("Disney").
At the same time UTV Software Communications Ltd (UTV), has been allotted 1500000 equity shares of Rs.10/- each of UGBL, constituting 75% of the paid up share capital of the company, for a aggregate consideration of Rs. 2.40 billion, making UGBL a subsidiary of UTV. The remaining 10% continues to be held by Ronnie Screwvala’s Promoter Group. UGBL is the parent company for its two wholly owned subsidiaries that have launched four channels in 6 months between Set 07- Mar 08. First is Genx Entertainment Limited that houses the youth brand 'Bindass', launched in September 2008, Bindass is the first 3600 Entertainment Brand for Indian Youth. It has created a community building platform to bring Indian Youth together using the power of TV, web, mobile, Ground and Campus activities. ‘Bindass’ is a Youth Entertainment Channel which offers a unique blend of programming in well researched genres that attract Indian Youth. ‘Bindass Movies’ is another innovative offering sharply targeted at Indian Youth. High Voltage, Block buster Hollywood Movies, uniquely dubbed into Indian languages “bindass style”.
Second is UTV Entertainment Television Limited that houses 'World Movies', the only 24 hour channel dedicated to movies from around the globe. The channel airs the best of contemporary, award winning, and commercially successful movies. Launched in February 2008, 'UTV Movies' is the only 24-hour premium Hindi movie channel that has the lineage and experience of UTV Motion Pictures – one of the largest Hindi movie studios in India. With the completion of this investment, the largest media and entertainment foreign investments into India, Disney has completed 32.1% acquisition in parent UTV Software Communications Ltd & 15% in the broadcast arm UGBL at a total out lay of Rs 9.2 billion.