MUMBAI: Inox Leisure has completed the acquisition of a majority stake of 50.27 per cent in multiplex chain Fame India.
Inox, which had earlier acquired 1,75,65,288 equity shares of Fame in February last year, has announced the completion of the open offer formalities as required under the SEBI regulations.
As per the provisions of Companies Act, 1956, Fame India has now become a subsidiary of Inox Leisure.
Inox had acquired 43.1 per cent stake from the Shroff family promoting group for Rs Rs 664.8 million. Later it acquired an additional 7.2 per cent through a block deal on BSE.
Inox currently has 38 operational properties, with 144 screens and a seating capacity of 40,140 in 25 cities across India. On the other hand, Fame India has 25 operational multiplexes with 95 screens and a seating capacity of 26,487 in 12 cities. The two companies now control the largest multiplex screen capacity in the country.
Inox and Fame India director Deepak Asher said, "We are delighted to have completed this transaction and acquire control over Fame. This reiterates our core belief in the fundamentals and long-term prospects of the film exhibition business in India. We are now focused on seizing the attractive opportunities this transaction has created for us to increase top-line growth as well as achieving cost synergies, to enhance value for stakeholders of both companies."
Anil Ambani’s Reliance MediaWorks holds 32 per cent in Fame India.