| Log in

Walt Disney Completes UTV Software Open Offer; Ups Holding To 60%

20 November, 2008

Walt Disney has completed the acquisition of UTV Software. The second largest US media house has acquired 22.65% in the open offer and has raised its holding in the media company to 59.94% . Among those who tendered shares at the open offer include asset management giant Fidelity which sold 4.2% out of its 6.75% stake.

The offer which would have cost around Rs 667 crore would give a strong presence in the Indian entertainment business. UTV Software is the holding arm of various entertainment and media businesses including movie production, news and general entertainment television channels, besides gaming business.

This deal marks the completion of the first major buyout of an integrated media house by a multi-national firm. A majority of Indian media groups are family businesses. UTV, led by Rohinton Screwvala, was among the exceptions besides other groups such as Network 18 (Raghav Behl), NDTV (Prannoy Roy) etc.

Disney had first acquired 14.85% in UTV for about Rs 65 crore in August 2006. This was just short of the 15% mark, which is the trigger point for making an open offer.

Early this year the Disney had hiked its holding in UTV Software to 37.29% through subscription of fresh shares at a price of Rs 860.79 translating into a deal worth Rs 805 crore. Subsequently it had made an open offer in October. Post the completion of the transaction Disney now holds 59.94% in the company, making it the promoter of the firm. However, the stock price has crashed since then and closed at Rs 254.7 at BSE on Thursday.

 


Leave Your Comment
Walt Disney Plans To Delist UTV Software; Deal May Cost $500M

Walt Disney Plans To Delist UTV Software; Deal May Cost $500M

Madhav A Chanchani 6 years ago
The Walt Disney Company has announced a delisting offer for its India unit UTV...
UTV Set To Buy Adobe's 6.29% In Indiagames; Delisting Offer For UTV

UTV Set To Buy Adobe's 6.29% In Indiagames; Delisting Offer For UTV

Nandana Das 6 years ago
Mumbai-based UTV Software Communications Ltd, has struck a deal to buy out Adobe...
Walt Disney Picks Up 15% Stake In UTV's Broadcasting Arm

Walt Disney Picks Up 15% Stake In UTV's Broadcasting Arm

Madhav A Chanchani 9 years ago
UTV Software Communications Ltd has sold 15 per cent stake in its broadcasting...
No Comments

Walt Disney Completes UTV Software Open Offer; Ups Holding To 60%

Powered by WordPress.com VIP