MUMBAI: Real estate firm Housing Development and Infrastructure (HDIL) Group has forayed into the broadcasting space by acquiring 51 per cent stake in Broadcast Initiatives Ltd, which owns Hindi news channel Live India.

Additionally, the company is also firming its plans to foray into film production, distribution and studio facilities. The company had earlier announced its intent to enter into the exhibition sector under the brand name Broadway. Plans are to invest Rs 10 billion (Rs 1000 crores) in the multiplex business.

Fame India’s subsidiary company has tied up with HDIL to programme their multiplexes at Vashi, Bhandup and Kandivali.

HDIL Group, through its various companies and individual members, will acquire also acquire 51 per cent shareholding in Sri Adhikari Brothers Media Limited (SABML), which operates Marathi channel Mi Marathi and 51 per cent stake in Technocraft Media Private Limited (TMPL), which is slated to launch a Bhojpuri channel.

HDIL Group through its associates and individual members pursuant to the agreement entered into with existing promoters of BIL, will acquire 51 per cent in BIL throught a mix of preferential issue of shares, equity purchase from existing promoters and a subsequent open offer under SEBI’s Substantial Acquisition of Shares and Takeover Regulations (SAST), 1997.

Adhikari Brothers will retain a balance shareholding, which may be up to 24 per cent post completion of transaction. The transaction subject to shareholders and other regulatory approvals, was unanimously approved by the board of directors of BIL.

HDIL Group chairman Rakesh Kumar Wadhawan said, “The acquisition of 51 per cent stake in BIL, SABML and TMPL is part of the group’s long term strategy of becoming a significant player in the fast growing media and entertainment space. This will prove to be an ideal entry point for the group, because of the vast media experience of Adhikari Brothers. Our future plan is to create a bouquet of regional news and entertainment channels and to become a leading media conglomerate by entering into other assets such as film production, distribution and studio facilities.”

Broadcast Initiatives Limited vice chairman and managing director Markand Adhikari said, "I am delighted to announce our association with the HDIL Group. The partnership puts us on a new and much stronger platform to harness our capabilities and cope with the increasing competition in the national and regional broadcasting segment. Sri Adhikari Brothers core strength lies in its creative abilities but to face the other players in the broadcasting segment, we needed to partner with a strong and aggressive player like HDIL Group to put us into a new orbit and achieve sustainable growth in the medium and long term.”