Balaji in talks with investors to buy Star's stake:Report

Television content provider Balaji Telefilms Ltd is in talks with a consortium of investors to buy the 25.99 percent stake held by a unit of Rupert Murdoch's Star group, a newpaper reported on Tuesday.

The stake is owned by Dubai-based Asian Broadcasting FZ-LLC and was bought for 1.23 billion rupees in 2004, the paper said. Balaji will float another joint venture company with these investors to launch a bouquet of regional television channels, the paper said.

While Star was "very close" to ending its relationship with Balaji, the formalities were yet to be completed, the paper cited an unnamed official as saying. On Monday, News Corp chief Rupert Murdoch said the US media conglomerate plans to invest $100 million in six regional language channels in India, where it is a leading broadcaster.

Officials at Balaji Telefilms could not be immediately reached for comment. Murdoch on Monday declined to comment on speculation Star and Balaji were ending their venture.

Balaji may offload 15% in motion pictures arm

Balaji Telefilms, Ekta Kapoor-promoted production house, plans to offload 10-15 per cent stake in its wholly owned subsidiary Balaji Motion Pictures. Sources said the company is valued at Rs 1,000 crore. Centrum Finance is said to be the financial advisor to the company.

Sources added that the company is in talks with private equity investors. It is considering roping in only one private equity, instead of a cluster of investors. However, the plan is at a nascent stage.

The company is dabbling with movie distribution business as well, and has distributed Bhool Bhulaiya and Darling, among a few others.Going forward, the company plans to produce, co-produce and distribute around 12 films a year. Balaji will look at distributing films overseas for which it will licence individuals in the US, the UK and West Asia who will facilitate the business, instead of setting shop in these places.

Read more in The Business Standard article.