MGM lion roars louder in India
The Metro-Goldwyn lion is now beginning to roar in India. MGM, one of the biggest motion picture companies in the world, is setting up a wholly-owned subsidiary in India - MGM Programming Service India (MGM India).
By Moinak Mitra & Sanjeev Sharma, TNN |
NEW DELHI: The Metro-Goldwyn lion is now beginning to roar in India. MGM, one of the biggest motion picture companies in the world, is setting up a wholly-owned subsidiary in India — MGM Programming Service India (MGM India).
A subsidiary of MGM Inc and MGM Studios, MGM opened shop in India a couple of months ago to set up an entertainment-based channel.
The company would now borrow extensively from the parent’s pool of global resources to carve a niche in the country’s growing entertainment television segment.
MGM India was incorporated with a subscribed share capital of Rs 1 lakh comprising 10,000 shares, held jointly by SwiftIndia Corporate Services and Prerak Hora, a nominee of SwiftIndia.
MGM India has written to the Foreign Investment Promotion Board (FIPB) that MGM Inc and MGM Studios are seeking 100% investment in the company, for which they have expressed an interest to subscribe to 14,90,000 equity shares of MGM India at face value.
This tots up to Rs 1.49 crore, which would constitute 99.3% of the shareholding of MGM India. The parents intend to acquire the initial subscribed shares held by SwiftIndia and increase their shareholding in MGM India to 100%.
MGM Inc manages interests in MGM Networks, Hollywood film studio joint venture channels, and other programming services spanning markets across Europe, the Americas and Asia. Currently, MGM Inc has an agreement with the New Delhi-based Essel Shyam Communications (ESCL) for broadcasting of the channel to subscribers in India.
ET learns that MGM Inc is now transferring the agreement to MGM India while ESCL is entrusting the charge to its affiliate, Dish TV India. Dish TV will continue to provide services to MGM India and collect subscription revenues
as per the agreement.
A subsidiary of MGM Inc and MGM Studios, MGM opened shop in India a couple of months ago to set up an entertainment-based channel.
The company would now borrow extensively from the parent’s pool of global resources to carve a niche in the country’s growing entertainment television segment.
MGM India was incorporated with a subscribed share capital of Rs 1 lakh comprising 10,000 shares, held jointly by SwiftIndia Corporate Services and Prerak Hora, a nominee of SwiftIndia.
MGM India has written to the Foreign Investment Promotion Board (FIPB) that MGM Inc and MGM Studios are seeking 100% investment in the company, for which they have expressed an interest to subscribe to 14,90,000 equity shares of MGM India at face value.
This tots up to Rs 1.49 crore, which would constitute 99.3% of the shareholding of MGM India. The parents intend to acquire the initial subscribed shares held by SwiftIndia and increase their shareholding in MGM India to 100%.
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MGM Inc manages interests in MGM Networks, Hollywood film studio joint venture channels, and other programming services spanning markets across Europe, the Americas and Asia. Currently, MGM Inc has an agreement with the New Delhi-based Essel Shyam Communications (ESCL) for broadcasting of the channel to subscribers in India.
ET learns that MGM Inc is now transferring the agreement to MGM India while ESCL is entrusting the charge to its affiliate, Dish TV India. Dish TV will continue to provide services to MGM India and collect subscription revenues
as per the agreement.
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