UTV Buys Controlling Interest in Indiagames
By Rafat Ali - Fri 14 Dec 2007 08:49 AM PST
UTV, through its UK subsidiary, has bought a controlling stake in Indiagames. UTV first bought into a majority in Indiagames late last year, for about Rs 68 crore, which it bought from Chinese online gaming firm Tom Online....that deal has now closed. In addition to that, UTV has also acquired an additional 12.11 percent equity stake in Indiagames by subscribing to the latter’s share capital. In addition, UTV UK has an obligation to subscribe to additional shares amounting to 8 percent of the equity share capital of Indiagames for $1.5 million.
With this, UTV now owns a total of 66.97 percent 56-58 percent of the existing capital of Indiagames, depending on ESOPS pay-out. The total investment after the additional subscription will be about Rs 42.4 crores in Indiagames. More here.
Prior to UTV, TOM Online held a majority stake in Indiagames. Other investors like Adobe (NSDQ: ADBE) and Cisco (NSDQ: CSCO) in addition to management shareholders will continue to maintain their stake in Indiagames. More on this in the morning…
Posted in: Companies, UTV, Gaming, Indiagames, Mergers & Acquisitions
