MUMBAI: Pyramid Saimira Group has acquired a 51 per cent stake in Mumbai-based Dimples Cine Advertising and Dimples Cine Activations for an undisclosed amount.
Dimples Cine promoter Kamal Karamchandani will further dilute 23 per cent through private placement. “We will retain 26 per cent and dilute the rest to other investors. The valuation is confidential at this stage,” says Karamchandani.
Pyramid Saimira expects the topline to benefit by Rs 1.5 billion in FY‘09 due to the acquisition of the cinema advertising company. “Dimples Cine will automatically reach out to 1000 theatres and have geographical and customer diversity. Besides, they will also be targeting business from non Pyramid theatres. We are aiming at a topline rise of Rs 1.5 billion from this in FY‘09, says Pyramid Saimira Theatre MD PS Saminathan.
Dimples Cine, which offers services for both on-screen as well as off-screen advertising, has rights to 250 screens for advertisements. Pyramid currently has 703 screens.
The target is to have access to 4,000 screens by 2010, Saminathan said. Pyramid plans to have grown to 2000 screens by then. “We plan to ramp up Dimples‘ access to 4000 theatres. We will have signage as well as out-of-home content. The advantage is that we will have content, distribution and marketing under one umbrella. This also brings a huge ability for us to cross promote on the platform because we have theaters, films, TV news media as well as the magazines. So to an advertiser Pyramid is a complete media company, which can give a huge amount of eyeball mileage across different segmental platforms,” says Saminathan.
Dimples Cine Advertising would continue to remain headquartered in Mumbai, while becoming a part of the Pyramid Saimira Group universe.
Keynote Corporate Services was the advisor to Pyramid Saimira for this transaction.
As reported earlier by Indiantelevision.com, Pyramid Saimira Productions Ltd (PSPL), a subsidiary company for film and TV production business, is planning to float an initial public offering (IPO) to raise Rs 1.5 billion.
Recently, Pyramid Saimira acquired Texas-based FunAsiA through its subsidiary – Pyramid Saimira Entertainment America Inc.
Pyramid is also planning to float a subsidiary company in London to target the European market. “We may look at acquiring a company in the range of $100 million. For the US and Europe operations, we are going to reach out to the Asian diaspora. In the South East Asian region, on the other hand, we are setting up native theatre chains,” says Saminathan.
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