- Infosys MD & CEO Vishal Sikka resigns, Pravin Rao interim chief
- Rescue Hyderabad minor from Omani sheikh: Maneka Gandhi to Sushma Swaraj
- After SBI, now HDFC Bank and Yes Bank cut interest rate on savings
- Election Commissioner speaks out: 'Winning at all cost, without ethics, is new normal in politics'
- Karti Chidambaram says will appear before CBI on August 23, seeks protection
- USS Fitzgerald captain during collision that killed 7 to lose command
Balaji Telefilms gets nod to raise Rs 250 cr
MUMBAI: Film production company Balaji Telefilms Ltd (BTL) has received the approval of its board of directors to raise up to Rs 250 crore (Rs 2.5 billion) even as it gears up to launch its own over-the-top (OTT) service under the ALT brand.
The funds will be raised by way of QIP/GDR/ADR/FCCB/ other securities linked to equity/preference shares/any instrument or securities representing convertible securities subject to approval of the shareholders and other necessary approvals.
The BTL board also approved the proposal to increase the authorised share capital of the company from Rs 20 crore (Rs 200 million) to Rs 26 crore (Rs 260 million), subject to the approval of shareholders.
As reported by TelevisionPost.com, the production house is planning to launch an OTT platform in which it intends to invest Rs 250 crore (Rs 2.5 billion). While technology will consume around Rs 50 crore (Rs 500 million), content creation and marketing will take away 75 per cent of the investment.
Meanwhile, Balaji Telefilms reported a consolidated net profit of Rs 7.28 crore (Rs 72.8 million) in the fiscal second quarter as opposed to a net loss of Rs 7.57 crore (Rs 75.7 million) a year ago.
Net sales from operations declined to Rs 52.84 crore (Rs 528.4 million) from Rs 58.84 crore (Rs 588.4 million) in the corresponding quarter of the previous fiscal.
While total expenses decreased to Rs 50.70 crore (Rs 507 million) from Rs 71.54 crore (Rs 715.4 million), the cost of production acquisition and telecast fees almost doubled to Rs 80.21 crore (Rs 802.1 million) compared to Rs 42.56 crore (Rs 425.6 million).
Revenues from commissioned programmes increased to Rs 51.17 crore (Rs 511.7 million) from Rs 49.32 crore (Rs 493.2 million) a year ago. Revenues from film segment saw a huge drop from Rs 9.43 crore (Rs 94.3 million) in the corresponding quarter of the previous fiscal to Rs 1.64 crore (Rs 16.4 million) during the quarter under review.
The consolidated result includes the performance of subsidiaries like Balaji Motion Pictures, BOLT Media, Chhayabani Balaji Entertainment, Event Media, Marinating Films, ALT Digital and IPB Capital Advisors.