Television

Network18 enters into an agreement with Carnival Cinemas

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MUMBAI: Multiplex chain Carnival Cinemas after having a great 2014 has set the right tune for the new year. While it was in December 2014 when Reliance MediaWorks (RMW) sold its multiplex business to Carnival Cinemas, 2015 has begun with Network 18 Media & Investments entering into an agreement with the multiplex chain. 



The agreement has been done through Network 18’s venture capital arm, Capital18 Fincap. Network18 with this will divest its entire stake in Stargaze Entertainment, which operates multiplexes in emerging urban centers of India under the brand name ‘Glitz Cinemas.’ 



Capital 18 is a majority shareholder at Stargaze and the transaction, expected to be completed within the current financial year, will result in a profitable exit for Capital18.



It can be noted that the proposed transaction with Reliance MediaWorks had placed Carnival amongst the top three multiplex operators in the country, with over 300 screens nationwide.

The agreement with Network 18 is yet another move by Carnival Cinemas to reach its target of 1,000 screens by 2017. 

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