Top Story

e4m_logo.png

Home >> Media - TV >> Article

Star Network sells entire 26% stake in Balaji Telefilms for Rs 108 crore

06-August-2015
Font Size   16
Star Network sells entire 26% stake in Balaji Telefilms for Rs 108 crore

Star Network has sold its entire stake of 25.99 per cent in Balaji Telefilms through a block deal on Metropolitan Stock Exchange of India (MSEI) for price expected at Rs.108 crore. Exchange4media had confirmed this from a source in Balaji Telefilms. However, as to the buyer of the stake it is still unknown. We have not received a comment from Star India yet at the time of this being published.

The deal is said to be done at a discounted rate with average price of Rs.63.60 per share. The Ekta Kapoor headed company shares have increased by almost 20 per cent with 15.85 points rise.

Uday Shankar, CEO Star India, said, “This confirms Star’s exit of a minority stake of 25.99% in Balaji Telefilms. Axis capital acted as advisors to Star and also executed the on-market sale on August 5th 2015. This is in line with our strategy to focus on core businesses where Star has the ability to shape and scale the future growth path of its investments. Our programming and contractual relationships with Balaji are deep and we continue to work on strengthening them to our mutual benefit.”

Star India has been trying to offload its stake in Balaji Telefilms since 2008 when it started scouting for buyers. In 2014 there were media reports saying that an Anil Dhirubhai Ambani group, either Reliance Big Entertainment or Reliance Mediaworks, was to be a frontrunner to acquire the stake. It had first acquired 21% stake in Balaji Telefilms from the promoters at Rs.90 per share to a total amount of Rs.123 crore. It had subsequently increased its share to 25.9 per cent in the company. Star and Balaji Telefilms had enjoyed content exclusivity which was later on scrapped. According to media reports the relationship between the two companies went bad after intense competition from other production houses overthrew the rating of Balaji’s shows. 

Tags

Kranti Gada joined the family business at Shemaroo in 2006 after a successful stint of over two years in marketing at Pepsi Co. She has been associated with the company for 12 years.

Exchange4media interacted with Jaspreet Chandok, Vice President and Head (Fashion) , IMG Reliance Pvt. Ltd on seamless brands integrations planned for Lakme Fashion Week, walking tall despite blazing trails like GST, demonetization and being a part of the larger cultural space

Their strategy to educate the consumers to make well informed decisions at all stages has worked out well.

Bobby Pawar, MD, CCO - South Asia, Publicis India, talks about his idea of chilling out

WhatClicks promises to be an unbiased, objective, third-party audit firm that will work with advertisers and agencies alike to help build an effective and integrated digital strategy.

V-Guard Industries, a household name for consumer electrical appliances in India, has revamped its logo in order to reflect the strength gained by the brand over the years. The company has also unveil...

The report reveals that there has been nearly 5 times more growth in video consumption in the last 12 months, with 96 percent of all usage being focused on long form video