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Walt Disney to launch delisting offer for UTV Software

The five-day offer opens on January 16. Post-delisting, Disney is likely to hold 80.25% stake in the Indian company

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BestMediaInfo Bureau
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Walt Disney Co. gets approval to buy 100% stake in UTV Software

Walt Disney to launch delisting offer for UTV Software

The five-day offer opens on January 16. Post-delisting, Disney is likely to hold 80.25% stake in the Indian company

BestMediaInfo Bureau | Delhi | December 29, 2011

publive-imageUS-based Walt Disney Co. will launch an offer for delisting shares of media and entertainment firm UTV Software Communications from Indian stock markets on January 16 next year. The offer will close on January 20.

Walt Disney plans to delist about 1.22 crore shares, representing 29.96 per cent of UTV Software's equity, and the offer price for the shareholders has been fixed at between Rs 835.03-1,000 a share, Walt Disney said in an advertisement published yesterday.

Walt Disney currently holds over 50 per cent stake in UTV Software.

In July this year, Walt Disney Co had offered to buy out stakes held by public shareholders and other promoters of the company. The government has also approved the proposal, which is expected to result in FDI inflows amounting to about Rs 8,250 crore.

Post-delisting, Walt Disney is likely to hold 80.25 per cent stake in the company if it successfully acquires the shares of all public stakeholders, while the remaining equity would be held by RS Group.

However, assuming that Disney acquires the shares of UTV Software's other promoter as well, pursuant to a share purchase agreement, Disney will secure 100 per cent stake in UTV Software, the advertisement said.

UTV Software is primarily engaged in the businesses of television broadcasting, games for console, mobile and online platforms, motion picture production and distribution, interactive digital content and television programming production and airtime sales. The company produces and distributes channels targeted at specific audiences, including UTV Bindass, UTV Action, UTV Movies and UTV Stars.

The company had annual revenue of Rs 9.5 billion in fiscal year ended March 2011.

Info@BestMediaInfo.com

Info@BestMediaInfo.com

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