GV Films to set up SPU with President Group

MUMBAI: GV Films Ltd has proposed to ink a joint venture with Chennai based President Group to set up a special purpose vehicle (SPU).


According to GV Films, President Group, which is chaired by Aboo Bucker, has shown keen interest to join hands and develop their existing land at Uthandi on East Coast Road, Chennai.


The total investment in the project will be approximately Rs 750 million (Rs 75 crores). The project will have 75-100 rooms themed hotel, multiplex with 10-15 screens and shopping malls.


On its board meeting held today, GV Films discussed the benefits that accrue to the company with this JV. The company will also be delegating to a committee of directors to study the feasibility and add on values.


The company also discussed on its proposed plan for de-merger into three entities with two new resultant companies – GV Studio City and GV Technologies – and the parent company – GV Films – intact.


The cut off date for de-merger has been set to 30 June, 2007 and Deloitte Haskins & Sells will be submitting their report on the demerger on or before 15 July, 2007.


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GV Films to consider de-merger scheme