UTV plans London listing for film production subsidiary

MUMBAI: Domestic media and entertainment firm UTV Software Communications is planning to transfer all its existing film production agreements into a wholly owned subsidiary and float the company on London Stock Exchange's Alternative Investment Market (AIM).

The proposed overseas listing of the subsidiary would be through an initial public offering or private placement of fresh shares for upto 25 per cent equity, the company informed.

The pricing and other details of the proposed public issue for the wholly owned subsidiary would be decided after consultation with advisors, the company said.

The company's board of directors approved the plans for setting up the subsidiary and the London listing at a meeting held earlier on Wednesday.

On March 18, UTV Group Founder Ronnie Screwvala had said that India Media Fund, a media-focused fund he advises, plans to offer international investors controlled access to India's fast-growing media market and would float on London's Alternative Investment Market soon.

Last year, UTV bought a controlling stake in Indiagames for Rs 68 crore and a 70 per cent equity in UK-based console gaming company Ignition for Rs 60 crore.

UTV Software Communications, which is in the process of initiating over 10 broadcasting channels over the next 18 to 24 months, has recently made strategic changes in the overall top management of the company.

UTV-UK would include the animation business -- UTV Toons, the post production and SFX business, UTV Post as well as the recent controlling investment in the console game development and publishing company, Ignition UK and India Games.