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UTV Motion Pictures Plc ("UTV" or "the Company") the holding company of UTV Motion Pictures (Mauritius) Limited ("UTV Mauritius") an global movie studio, announces that dealings in its ordinary shares will today start on AIM (ticker symbol: "UTVM")

 

The Company has raised US$70 million gross via a placing of new ordinary shares with investors in the UK, Europe and Asia.

 

 

Details of the placing

Placing price	US$2.90
Total number of new ordinary shares placed on behalf of the Company	24,137,931
Number of ordinary shares in issue following the placing	104,137,931
Percentage of enlarged issued share capital subject to the placing	23.18 per cent
Gross proceeds of the placing to be received by the Company	US$70 million
Estimated net proceeds of the placing receivable by the Company	US$65.7 million
Market capitalisation of the Company at the placing price	US$302 million

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ronnie Screwvala, Non-Executive Chairman, commented: "We are delighted with the response from investors who recognise that UTV's early adoption of the Hollywood studio model will enable the Company to establish a leading position in the Indian movie industry.  We now have the funds to implement our strategy for rapid, profitable growth."

 

Use of Proceeds: The proceeds of the placing will be used:

• To fund the US$30.2 million acquisition by UTV Mauritius of a Movie Portfolio from UTV Software Communications Limited ("UTV India") and certain subsidiaries of UTV India and in the case of the movie Goal, Aim Productions Limited;
• To finance the development and production (or co-production) of the Movies in Incubation acquired as part of the Movie Portfolio; and
• To fund the production (or co-production) and/or acquisition of further movie content.

The Directors believe that Admission will raise the profile of the Company and its subsidiary UTV Mauritius, promoting further awareness of its business and projecting it internationally as a co-producer of Hollywood movies, as well as Indian movies.

 

Grant Thornton is the nominated adviser, and Jermyn Capital Partners Plc is broker, to the Company. The Company has granted an Over Allotment Option to Jermyn Capital plc pursuant to which Jermyn Capital may require the Company to issue up to 2,528,735 Ordinary Shares at the Placing Price at any time on or before the thirtieth day following Admission.

 

Sourced From: UTV