Asian hedge fund Altima India Master Fund is planning to pick 14.39% in AIM listed The Indian Film Company (TIFC), according to a regulatory disclosure. TIFC is promoted by Television 18 chairman and managing director Raghav Bahl who holds 21.64% and is the single largest shareholder of the company.
The other large investors include Elara Capital (10.97%), besides Deutsche Bank (10.55%), Dundee Leeds Management (9.09%), Kelusa Master Fund (6.36%), BlackRock Merrill Lynch Investment Mgrs (6.18%) and Viacom Brand Solutions (4.55%).
The share price is around 25 pence giving it market cap of around £14 million. At current market price, Altima will have to shell out about £2 million for the stake. It is not clear who is selling out.
Altima India Master Fund is advised by Altima Partners Limited, a UK partnership which commenced investment advisory activities in July 2004. Altima Partners LLP is an investment fund manager with assets under management of over $3.8 billion, and invests in special situations on a global basis.
TIFC had raised £55 million through issue of 55 million shares at £1 n June 2007, which is now worth 25 pence each. In September this year, Deutsche Bank picked up 10.55% in TIFC. The company is backed to the tune of $10 million by Studio18, the movies offshoot of the Network 18 media conglomerate which also has an alliance with Viacom.
The firm is into production of Bollywood movies. It is one of the handful of companies in the entertainment sector to have raised funds from AIM market, the others being Eros and UTV.
For the six months ended September 2008, it had churned out revenues of £15.43 million (as against £11.45 million during FY'08 ending March). Some of the movies released by the firm include "Singh Is Kinng" and "Bhoothnath".