Specials

Media sector stitches 45 private equity deals in 2007



















MUMBAI: It has been a landmark year for the media and entertainment sector. A spate of 45 private equity deals have dotted the landscape in 2007 while one company has raised money through an initial public offering.


"It signals the coming of age of not only the media sector but also the companies. Indian promoters have taken their outfits to a scale where even Walt Disney and Time Warner have gone ahead to do equity deals with them," said ICICI Securities SVP Ravi Sardana.


The market cap of the media companies has touched $15 billion. "The media and entertainment sector, which is at Rs 500 billion, is expected to double in the next 4-5 years. This is something which is exciting investors," said Sardana while addressing a session at Ficci-Frames 2008 on "Raising Capital: Showbiz attracts the moolah."



The business has also become scalable with the opening up of multiple platforms. "There are lots of markets in India which are still under penetrated. Media companies can expand their business by entering into new geographies," Sardana said.


The missing segments in the piece are movie companies, animation and new platforms like IPTV. The sector also needs to consolidate and make structural changes for making it more attractive for equity capital infusion, Sardana said.



The challenges are shortage of talent and scaling up. "In India largest production houses do less than four movies a year. In Hollywood, the big six studios account for 90 per cent of the US and Canada box office," said Sardana.

Expressing bullishness on the sector, Blackstone chairman Akhil Gupta said that 65 per cent of India‘s GDP is personal consumption while in China it is 45 per cent. "That is where the Indian story gets stronger. There is scope for growth in advertising revenues," Gupta who heads the private equity company in India said.

Banks have extended funding for film projects, though it is open only for producers who have a track record. Exim Bank has extended loans close to Rs 3 billion and has supported 11 production houses. "Our experience has been good. We have had NPA (non-performing asset) of just Rs 1 million," said Exim Bank chief general manager John Mathew.



New financing options are also possible including financing equipment, airtime sales, acquisition of library content and distribution and merchandising, said Amarchand Mangaldas managing partner Shardul Shroff.

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/11/13/MIPCOM800.jpg?itok=G89xfoU-
MIPCOM 2017 - Content Really is King!

Eye-opening, international, new content for multi-platform that fully embraced digital and VR were my key takeaways from MIPCOM 2017. The world may be going digital but content will always be king!

Specials Event Coverage Mipcom
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/16/Chhota%20Bheem_0.jpg?itok=ehNRJugd
Chhota Bheem becomes Mighty with Netflix

CANNES: The studio behind the popular animated show Chhota Bheem, Green Gold Animation has been commissioned by Netflix to make an exclusive 13-episode series on its trademark show. Paradoxically titled Mighty Little Bheem, the series is set to be released in August 2018. Each episode of Mighty...

Specials Event Coverage Mipcom
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/06/Comic%20Con.jpg?itok=j3XJy58o
India-only Archie comics coming to Comic Con this year

NEW DELHI: Archie and the gang from Riverdale are officially coming to India this year in the Comic Con India Shows 2017 for Delhi, Mumbai, Bangalore and Hyderabad. Comic Con India, in collaboration with Archie Publications, has commissioned special #1 editions of popular Archie titles with the...

Specials Event Coverage Occasions
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/10/05/bi.jpg?itok=XN_laIsX
Broadcast India show to take place from 12-14 Oct

MUMBAI: The 27th edition of the annual B2B Broadcast India Show will be held from 12-14 October 2017 at Bombay Exhibition and Convention Centre, Goregaon, Mumbai. The three-day trade fair will witness the leading participants from across the globe present a wide array of products and technologies...

Specials Event Coverage Occasions
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/09/29/OTT-IDOS.jpg?itok=DHTboJ6P
IDOS 2017: OTT is here to stay but may not replace pay TV

NEW DELHI: The over-the-top (OTT) medium is here to stay and cannot be put down, but the television medium will continue to survive in the face of this challenge in India.

Specials Event Coverage IDOS
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/09/29/Rahul_Nehra-Vynsley_Fernandes-Anil_Wanvari.jpg?itok=oAsBp5QO
IDOS 2017: Tech needed to integrate different media in a single box

NEW DELHI: With the scenario changing to that of a multi-screen era, the need of the hour is to create a single technology that can deliver all systems into the home.

Specials Event Coverage IDOS
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/09/29/Partho_Dasgupta-IDOS17.jpg?itok=BYyk6SSI
IDOS 2017: Television is growing and will continue to do so, says BARC's Partho Dasgupta

NEW DELHI: Broasdcast Audience Research Council (BARC) India CEO Partho Dasgupta sounded a positive note at Indiantelevision.com’s 13th Indian Digital Operators Summit (IDOS 2017) in New Delhi’s The Lalit on 28 September 2017. Dasgupta stated that the video distribution ecosystem will have place...

Specials Event Coverage IDOS
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/09/29/idos_2017history.jpg?itok=bCC8mGVZ
IDOS 2017: Cable TV sector needs more collaborative broadcasters, say MSOs

NEW DELHI: Even as the multi-system operators and cable operator are doing their bit to aid digitisation, broadcasters need to participate more in the process which officially has been completed. They need to be more transparent and supportive of the distribution platform operator -- in this case...

Specials Event Coverage IDOS
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/09/12/charlie_1.jpg?itok=jlU0mgaX
Imagine Communications to host thought-leadership sessions at IBC2017

Imagine Communications has unveiled the schedule and speaker lineup for the IBC2017 edition of the company’s popular ImagineLIVE Power Sessions, a series of presentations and interactive discussions featuring prominent executives and experts from across the media and entertainment and IT industries...

Specials Event Coverage Occasions

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories