Tuesday, February 5, 2008

Disney Wants to Get More of UTV Share

Disney is eyeing to grab more market in Bollywood. The Hollywood production house already owns 14.9 percent share of UTV Software Communications, an India-based media group. Now, Disney wants more takeover of UTV that has a wider presence in Bollywood. UTV declared last year that it would sell 12 more percents of its share in order to launch some more channels. The deal is expected to be held next month. UTV owns the largest film studio of Bollywood.

Times Online reported:

A source said: “Change of control is obviously a possibility. There are no safeguards.”

With two other promoters Mr Screwvala controls a total of 36 per cent of the parent company.

A deal is expected next month, but interest in UTV may yet emerge from other parties. Media houses including Viacom and Sony are targeting India.

So, you can understand that the global companies have set their eyes on Bollwood. The overall market of Bollywood is ever increasing. Naturally, many will come to invest in the industry. Now, let us see how the competitors of Disney react on the deal.