Walt Disney Offers to Buy Full Control of India's UTV Software
The conglomerate will pay as much as $454 million as it looks to strengthen its presence in one of the fastest-growing Asian entertainment markets.
NEW YORK - Walt Disney has offered to acquire the rest of Indian media and entertainment company UTV Software Communications that it doesn’t already own for as much as $454 million as the conglomerate looks to strengthen its presence in one of the fastest-growing Asian entertainment markets.
Disney has already held a 50.44 percent majority stake in Mumbai-based UTV. On Tuesday, UTV said Disney has offered to pay a maximum of 1,000 rupees per share, or an 11 percent premium to Monday's closing stock price, to take the company private.
UTV has broadcasting, film and TV production, as well as games and interactive divisions. On its Web site, it says: "Since it began as a
television content company in 1990, UTV has developed into a global integrated entertainment content production and distribution company with five business verticals: Television (content production and airtime sales), Movies, Broadcasting, Games and Interactive."
It said its after-tax profit for the fiscal year ended March 31 amounted to $30.6 million. The Mumbai-listed shares of UTV rose more than 5 percent to set a new 52-week high.