| While the formation of the new 50:50 JV will take place
only after the necessary statutory and regulatory approvals have been
received, the aim is to come out with a number of localised niche
publications. The JV will also take over the publishing of the 29
magazines that are published by the Times Group.
Other magazines that the JV will look to grow in circulation include
Just Like That, Kidzone, Shipping Journal. Addressing a media briefing
this afternoon Bennett, Coleman and Co. MD Vineet Jain said, "In
October we had signed a 50:50 JV for the magazine business and today
we are announcing the finalisation of the deal. BBC's brands stand
for integrity, credibility and excellence. For us, with Femina and
Filmfare we have two magazines that also form a part of public consciousness."
Jain said a final decision on the magazines that would be launched
was still to be made as the matter was under study. "In a few
weeks time the specifics of the plan would be revealed," he
added.
Arun Arora, president of Bennett, Coleman & Co Ltd, said he
expected joint venture to redefine the rules of the magazine business.
He said that with the economy growing at an explosive pace, consumer
aspirations, too, was rising rapidly. "We are looking for a
multiplier effect and not one plus one is equal to two. Our tie-up
which is the first of its kind for us, will enable us to better
anticipate the needs of the readers. The burgeoning upper middle
class is increasingly becoming interested in niche areas like golf,
motoring. Our aim will be to develop satisfactory products that
will meet those needs."
BBC Magazines MD Peter Phippen said that the Indian magazine market
had significant growth potential. "The magazine sector will
grow more rapidly than your economy. We respect the Times Group
enormously. Our top publications include Top Gear, the women's magazine
Eve as well as Radio Times," Phippen said.
While no one from either the Times or the BBC were willing to make
any firm comment on the likely BBC titles that would be launching
in India via the new JV, the general drift of the briefing did offer
some indicators. Top of the list comes the popular auto magazine
TOP Gear that also leverages the brand value of the BBC World TV
show of the same name. Then there is Radio Times which covers the
television and entertainment industry. Parenting, Good Homes and
Good Food are other likely candidates for India entry.
Investment bankers JM Morgan Stanley were the advisers in the deal
on behalf of Bennett Coleman. The Times Group has a portfolio of
50 regular titles.
In 2002/03 BBC Worldwide returned £123 million to the BBC.
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