Bollywood biggie Mukta Arts Ltd’s chief Subhash Ghai will step down as MD of the company, according to a stock market disclosure. Ghai, however, will remain chairman of the media & entertainment company.
In a filing to the BSE, Mukta Arts said that the board of the company decided to conform with the provisions of Section 203 of the Companies Act, 2013 as per which an individual cannot be chairman and MD of the company at the same time.
Rahul Puri, currently the executive director of the company, will take over the responsibilities of Ghai as MD, it said.
The BSE-listed firm is largely into movie production and distribution business and lately entered the movie exhibition business with its own brand.
The company is aiming at Rs 100 crore revenues in the next 18 months from the multiplex business, a top company executive had told VCCircle earlier this year.
The company ended FY14 with revenues of Rs 291 crore with net loss of Rs 7.34 crore.
Mukta Arts’ scrip shot up 6.1 per cent to close at Rs 36.55 a share on the BSE in a strong Mumbai market on Thursday.
(Edited by Joby Puthuparampil Johnson)