Network 18 to invest Rs 41 cr in entertainment firm

MUMBAI: Network 18 will invest over Rs 41 crore in 'The Indian Film Company,' which is proposed to be listed on the Alternative Investment Market (AIM) of London Stock Exchange.

The Indian Film Company, is a 110 million dollar firm and is being sponsored by the founder and promoter of 'TV 18 Group' Raghav Bahl.

Studio18, the full spectrum motion picture division of Network 18, would offer all its productions to the AIM listed company on "first rights" basis, Network 18 Fincap informed the Bombay Stock Exchange.

Besides, offering a full menu of services, including production supervision, domestic and international theatrical distribution, home video distribution, and film acquisition and syndication services, it added.

"We are excited about sponsoring The Indian Film Company on AIM. It will enable high quality international investors to reap the benefits of the structural changes and growth opportunities being thrown up by the Indian film industry," TV18 Group Founder and Promoter Raghav Bahl said.

As per the 2007 PricewaterHouse Coopers report on the Indian media and entertainment industry, film entertainment is estimated at Rs 8,450 crore and is projected to grow to Rs 17,500 crore by 2011.

Network 18 is the group holding company of TV18, GBN, Web18, HomeShop 18 and Studio 18.