MSM To End FY08 With $50 Million Loss; Settles Dispute With Shareholders
By Nikhil Pahwa - Tue 01 Apr 2008 07:06 AM PST
The Cricket World Cup debacle appears to have Multi Screen Media (formerly, Sony (NYSE: SNE) Entertainment Television) hard: the company is going to end the fiscal year with a negative cash flow of around Rs. 200 crores ($50 million) reports Business Standard. The company has to pay for a loan taken to finance the acquisition of rights for the Cricket World Cup, and its current debt stands $71 million. Additionally, if SET Singapore loses a case with the income tax tribunal, then they could face a further financial liability of Rs. 100-120 crores. Many more details at BS. On a brighter note, it was earlier reportedthat the company had settled its dispute with two minority stakeholders: Atlas Equifin Pvt Ltd and Grandway Global Holdings Ltd. The two shareholders who together hold 31.67 percent stake in the company will pay MSM $12.66 million (around Rs. 50 crores).
MSM has also won the rights for the Indian Premier League, the success of which will be key for MSM; another Cricket World Cup disaster will hit them hard. However, for all the justification of the name change (Multi Screen Media from Sony Entertainment Television), we’re yet to see anything significant from them on either the Internet or Mobile. CEO Dasgupta had pitched for an E-Sports league, though.
