MUMBAI: Digital theatre chain Pyramid Saimira Theatre Ltd has formed a film production subsidiary called Pyramid Saimira Productions Ltd (PSPL).
Movies that are being funded by the company will be transferred to the new company with effect from 31 March, 2007. Pyramid Saimira has so far funded projects with a total investment of approximately Rs 140 million (Rs 14 crores).
Plans are also afoot to increase the borrowing limit of the company from Rs 5 billion (Rs 500 crores) to Rs 15 billion (Rs 1500 crores).
The Board also approved out of Rs 140 million the company can get 60 lakhs shares of PSPL at Rs 10 per share, aggregating to Rs 600 lakhs and the balance Rs 800 lakhs shall be paid by PSPL to Pyramid Saimira Theatre Ltd within 30 June, 2007.
Pyramid Saimira Theatre Ltd managing director P S Saminathan has been authorized to place shares of PSPL to strategic investors, HNIs etc aggregating 59 lakhs shares.
Saminathan will place such shares at approximately Rs 60 per share, but not less than Rs 40 per share.
The company is also in the process of setting up Pyramid Saimira Content Fund Management Co. Pvt.Ltd.
Pyramid Saimira Theatre Ltd posts net profit of Rs 58.3 million in Q4 FY 07
In its Q4 FY 07 results, the company has posted a net profit of Rs 58.3 million (Rs 5.83 crore). The company’s total revenue stood at Rs 678 million (Rs 67.8 crore).
For FY07, the company reported profit after tax of Rs 158.8 million (Rs 15.88 crore) and revenue of Rs 1.56 billion (Rs 156.38 crore).
Approximately 90 per cent of the company’s revenues come from theatrical box office collections. The company has chalked elaborate plans in India and overseas. It is looking at adding up to 400 screens in FY08 and is expects to rake in Rs 6 billion (Rs 600 crores) from its southern India operations in FY08.
The company also plans to raise foreign currency convertible bonds (FCCB) for an aggregate subscription amount not exceeding $ 150 million by May this year. This will be used to fund expansion deals for development of international theatre chains, malls, multiplexes in India, promotion of content funds and also to fund organic and in-organic expansion in the film exhibition and distribution business.
Related story:
Pyramid to pump in Rs 125 million in Malaysia
