Adlabs Films, a film processing laboratory, plans to broaden its horizons and become an entertainment powerhouse.
Manmohan Shetty, chairman and managing director, said: “With so much of funds being infused into the company, we are looking at expanding into newer areas of entertainment.”
Shetty said Adlabs would focus on multiplexes, overseas film distribution and home entertainment.
Anil Ambani’s Reliance Capital yesterday announced its plan to pick up a 52 per cent stake in Adlabs and make an open offer for an additional 20 per cent.
Shetty continues to retain his stake in the company and also stays as a director on the board along with his daughter Puja. The other non-executive directors are Berjis Desai, Pradeep Guha, Chander Kidwani and Shyam Shroff.
After setting up four multiplexes in Maharashtra over the last six years, Adlabs’ multiplex business is going national. Four new multiplexes are slated to come in Kolkata, Mangalore, Bangalore and Hyderabad this year. The company will add 22 screens this year, taking its total count to 40.
Adlabs has plans to set up 30 multiplexes, totalling 150 screens, across India over four to five years. It has also acquired the 67-year-old single-screen Metro Theatre in Mumbai, which will be converted into a multiplex.
Adlabs is the first company to get the IMAX format in India but Shetty clarified that the company had no plans to expand the IMAX format.
Home entertainment is another focus area for Adlabs. “We plan to acquire Hindi and English film titles and encash on the growing video compatible disc (VCD) and digital video disc (DVD) market,” Shetty said.
According to a recent PriceWater HouseCoopers (PwC) report on the Indian entertainment industry, the home video market is expected to grow at 30 per cent in five years.
Adlabs plans to strengthen its international distribution with the infusion of funds.
Shetty informed that the company will open offices in the overseas market.
This will be helpful because the company is also actively eyeing international co-productions segment.
Entertainment One, a wholly owned subsidiary of Adlabs, has just finished a US co-production, Marigold. Shetty said the company was now eyeing co-productions with Italy and UK.