Interworld Digital to raise $10 million; digitise 300 theatres

MUMBAI: Interworld Digital will be raising a sum of approximately $10 million from GDR/ADR/QIP. The company plans to increase its presence in the digital cinema and mobile communications space.

Interworld Digital has identified 300 theatres in the Mumbai circuit to bring them into its digital cinema network. The company would require approximately Rs 450 million (Rs 45 crores) to digitise these 300 theatres.

During the last one year, Interworld Digital has digitised 52 theatres in the Mumbai circuit like Eros, New Empire, Paradise and Jaya amongst others. A total investment of approximately Rs 12 – 15 lakhs is required to upgrade each theatre.

Interworld Digital began its journey in the digital cinema space by exhibiting Yash Raj Films’ Tashan digitally at a single screen theatre in Mumbai. During the last one year, the company has digitally released more than 85 movies in its network theatres.

Two key objectives have been identified under the company’s New Vision DCC 2010. "As we work to achieve each of them, this corporate plan sets out a number of intermediate goals for each of the next three years. For each key objective, we summarise our starting position and then list a number of strategies, which we shall employ to achieve the given objectives. Our aim is to set targets, which are stretching but realistic. We have already put Vision 2010 in place. It is this long-term vision of how we want ourselves to be in three years and beyond, which is determining the changes," said Interworld Digital chairman Man Mohan Gupta.

Interworld Digital is also looking at capitalising on in-theatre advertising by providing tie-ups with advertisers. Plans are to have 10 ads placed in every DigiCine theatre, of which five will be played before the movie begins and five will be played during the interval.

The company is also planning to foray in mobile Value Added Service (VAS) sector as India gears up for the launch of 3G. For mobile communication, Interworld Digital would require funds of Rs 200 million (Rs 20 crores). "We are in talks with few companies abroad for partnering to provide solutions and applications for mobile operators and users," Gupta added.

Interworld Digital’s turnover is approximately Rs 90 million (Rs 9 crores) and it has reserves of approximately Rs 110 million (Rs 11 crores).

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