The Indian film industry is attracting big ticket investment with corporate houses turning focus on film production. After Yashraj Films, UTV, TV18 and PVR, Reliance ADAG is investing big in film production.
Reliance ADAG group’s entertainment company, Reliance Entertainment has created a new subsidiary, Big Motion Pictures Ltd. which will produce 40 Bollywood films in next 2 years with an investment of Rs.500 crore.
Currently ADAG owned Adlabs produce movies but now it would be totally concentrate on film processing and exhibition through its multiplex chain.
Anil Ambani is also converging its telecom and entertainment business by setting up VCD and DVD outlets in its Reliance WebWorld outlets.
With Bollywood attaining global status, exhibition industry on a boom, demand for big budget films with big banners is increasing; as such entry of corporate players could influx the required capital in the otherwise risky investment of film making.
Also, with planned entry into TV broadcasting business and introduction of news channels, film making would form a perfect fit to leverage on strength of the group’s other entertainment businesses. via
Anil Ambani’s Reliance Communications is looking at acquiring a controlling stake in Aircel Cellular Ltd. by buying out stake from Malaysian company Maxis Communications, who hold 74% stake and possibly from promoters of Apollo Hospitals who hold remaining 26%.
Aircel’s main operations are in Tamil Nadu and Chennai circles while it has got licence for a pan-India rollout. This make strategic fit for Reliance Communications as it can GSM licence and the necessary spectrum. It could also divert its slow growth rate in CDMA business in comparison to other GSM players.
For Maxis, it could mean getting a partner which has a national presence, strong brand, professional management and established infrastructure.
TRAI is also expected to allow for free competition, removing the 10% ceiling for a mobile firm to hold stake in companies in a single circle. It is also expected to allow for running both CDMA and GSM services under the same operating licence.
However, given Aircel’s lesser known brand name nationally and scale of operations, it may command lesser premium as seen in the recent Hutch-Vodafone deal. Also, given unclarity in Reliance Communications plans for GSM business and unstable guidelines, it may be a while before the deal actually takes place. Source
After Mukesh and Anil Ambani, DLF’s Kushal Pal Singh became India’s third rupee trillionaire with a net wealth of Rs.101,250 crore. The market cap of India’s largest real estate company DLF now stands at Rs.1,14,744 crore.
The promoter holding in DLF stands at 88.24% and has appreciated in value by over Rs 22,000 crore since listing. Prior to listing, Singh’s stake was worth about Rs 79,000 crore.
In dollar terms, Mukesh Ambani’s net worth is $39.9 billion, while Anil Ambani is second at $26 billion. KP Singh is worth $25.1 billion followed by Bharti’s Sunil Mittal with over $22 billion and Wipro’s Azim Premji at $14.6 billion.
The top 5 billionaires in India are worth Rs. 515,000 crore and represents 11% of of total investor wealth in Indian equity market of Rs. 45,00,000 crore.
With the offloading of 5% stake in Reliance Tower Infrastructure Ltd by Reliance Communications to 7 financial investors valuing the tower business of the company at astonishing Rs.27000 crore, the analysis has now shifted as to how the tower business would contribute in the growth of telecom companies.
India has 120,000 tower sites, having 136,000 BTS (Base Transmitting Station) of different telecom companies. Bharti Airtel has the largest tower portfolio with 39281 tower sites and 1.26 occupants per tower. Reliance Communications (R-Com) has 13000 towers. All other operators’ towers have lower occupancy ratios and face challenges in facing competition from larger players.
Reliance Energy Ltd plans to spend Rs.60000 crore to contribute one-quarter of India’s additional generating capacity over the next 5 years. This would increase the company’s generating capacity almost 17 times from 941 megawatts to 16,000 megawatts.
The company expects to win two ultra mega power projects, with a generation capacity of 4,000 MW each and an investment outlay of Rs.40000 crore.
It has emerged as the lowest bidder for 1,500 km of transmission lines to be completed by 2010 with an estimated cost of Rs.2000 crore.
REL also intends to invest Rs.12000 crore in 2,000 MW of nuclear power generation. On the transmission front, REL is planning to participate in 14 ultra mega transmission projects with an estimated cost of Rs. 25,000 crore.
Also, ADAG’s RNRL has sought Government nod for investing Rs. 2000 crore in gas distribution in Delhi and Mumbai.
After Reliance Industries’ Mukesh Ambani, it’s now his younger sibling, Anil Ambani to have personal wealth of over 1 trillion or Rs. 100,000 crore.
The market capitalisation of all ADAG companies stand at around 1.67 trillion while Anil Ambani’s personal share is over 1 trillion, though behind Mukesh Ambani’s wealth of 1.15 trillion.
Post demerger, ADAG companies - Reliance Communications, Reliance Capital, Reliance Energy, Reliance Natural Resources Ltd have significantly surged in market capitalisation resulting in higher shareholder returns.
In terms of richest Indians, the top two spot are now held by the Ambani brothers, followed by Bharti’s Sunil Mittal, recently listed DLF’s KP Singh and Wipro’s Aziz Premji.
The online DVD rental business in India is still at a nascent stage but is attracting big players, funding and consolidation activity. The business is attracting interest on count of various factors like a proven viable revenue model, good market demand and convenience.
The oldest Indian player in this space, Bangalore–based Seventymm, having 25,000 subscribers across 5 cities has acquired Delhi-based Madhouse.in, making it the biggest in India. Madhouse has previously received funding of Rs 1.05 crore from private investors while Seventymm received Rs. 42 crores in 2 rounds.
After Energy, Financial Services, Telecom, Entertainment, its now Healthcare, which is catching Anil Ambani’s focus, primarily due to the high margins this sector command. He is supposed to be investing Rs. 6,800 crore, comprising a chain of medicine retail stores (Rs. 1,200 crore), four hospitals in West Bengal, Bangalore, Delhi and Mumbai (Rs. 1,600 crore), and two medi-cities in Jaipur and Nagpur (Rs. 4,000 crore). Reliance Health Ltd, a subsidiary of ADAG Group, has also proposed to set up a ‘Health city’ in Bhubaneshwar at a cost of Rs.500 crore. It is converting the Mandke hospital in Mumbai (acquired recently) into a 650 bed super speciality hospital. Reliance Health is starting itself from Delhi and Mumbai as these cities contribute about 19% of the country’s drug sales.
The pharmacy retail trade, which is highly fragmented and dominated by small chemists, is seeing entry of big industrial groups like Ranbaxy (Fortis), Reliance Retail, together with other big multi-format retailers like Pantaloon (Tulsi) and Subhiksha, and regional healthcare players like Apollo Pharmacy (Apollo Hospitals Group), Medicine Shoppee (international drug retail chain), Dial for Health (Zydus Cadilla), Planet Health (Sagar Drugs & Pharmaceuticals), Life Spring (Morepan), Health & Glow (Dairy Farm), LifeKen (Lifetime Healthcare), 98.4 (Global Healthline), Body Shop (now acquired by French beauty major Loreal), Guardian Pharmacy (Guardian Lifecare).
Reliance ADAG group has received permission to start its DTH operations, becoming the fourth player after Zee TV owned Dish TV, Tata-Star TV’s Tata Sky and yet to be launched Sun Direct. Prasar Bharti also has operations under the name of DD Direct Plus, but it has remained a non-starter owing to the quality of channel portfolio. With Bharti Airtel, also planning to start its operations soon, the sector would be see intense competition.
DTH services scores in the quality of picture, sound and interactive services on offer, but the biggest entry barrier still remains the high price of digital box and installation. DTH services competition from the existing cable operator, CAS and IPTV. CAS is present only in metros but the implementation has been far from successful, while IPTV is still to gather momentum. The local cable operator is still able to rake in the moolah and call the shots, as he has a control over a particular locality, and there is little left for the consumer to choose.
After Bharti Airtel, Tata Teleservices, Reliance Communications and Idea Cellular, a relatively smaller player, Modi promoted Spice Telecom, operating in just 2 but lucrative circles of Punjab and Karnataka, would be the one to hit the capital market with an IPO in June. Idea Cellular may buy around 10% in prep-placement IPO.
The Economic Times reports that Spice Telecom, Idea Cellular and Reliance Telecom could be eyeing an organisational alliance. This resembles a 5 year ago merger which led to creation of brand ‘Idea’, between existing brands of AT&T in Maharashtra, Goa and Gujarat, of Tata Cellular in Andhra Pradesh and of RPG Cellular in Madhya Pradesh and Chhatisgarh. Reliance Telecom is a different entity to Reliance Communications, the former is a GSM player operating in 8 circles including North-East (probably having least tele-density in the country).
The Indian film industry is attracting big ticket investment with corporate houses turning focus on film production. After Yashraj Films, UTV, TV18 and PVR, Reliance ADAG is investing big in film production.
Anil Ambani’s Reliance Communications is looking at acquiring a controlling stake in Aircel Cellular Ltd. by buying out stake from Malaysian company Maxis Communications, who hold 74% stake and possibly from promoters of Apollo Hospitals who hold remaining 26%.
After Mukesh and 
With the offloading of 5% stake in Reliance Tower Infrastructure Ltd by Reliance Communications to 7 financial investors valuing the tower business of the company at astonishing Rs.27000 crore, the analysis has now shifted as to how the tower business would contribute in the growth of telecom companies.
Reliance Energy Ltd plans to spend Rs.60000 crore to contribute one-quarter of India’s additional generating capacity over the next 5 years. This would increase the company’s generating capacity almost 17 times from 941 megawatts to 16,000 megawatts.
After Reliance Industries’ Mukesh Ambani, it’s now his younger sibling, Anil Ambani to have personal wealth of over 1 trillion or Rs. 100,000 crore.
The online DVD rental business in India is still at a nascent stage but is attracting big players, funding and consolidation activity. The business is attracting interest on count of various factors like a proven viable revenue model, good market demand and convenience.
After Energy, Financial Services, Telecom, Entertainment, its now Healthcare, which is catching Anil Ambani’s focus, primarily due to the high margins this sector command. He is supposed to be investing Rs. 6,800 crore, comprising a chain of medicine retail stores (Rs. 1,200 crore), four hospitals in West Bengal, Bangalore, Delhi and Mumbai (Rs. 1,600 crore), and two medi-cities in Jaipur and Nagpur (Rs. 4,000 crore). Reliance Health Ltd, a subsidiary of ADAG Group, has also proposed to set up a ‘Health city’ in Bhubaneshwar at a cost of Rs.500 crore. It is converting the Mandke hospital in Mumbai (acquired recently) into a 650 bed super speciality hospital. Reliance Health is starting itself from Delhi and Mumbai as these cities contribute about 19% of the country’s drug sales.
Reliance ADAG group has received permission to start its DTH operations, becoming the fourth player after Zee TV owned Dish TV, Tata-Star TV’s Tata Sky and yet to be launched Sun Direct. Prasar Bharti also has operations under the name of DD Direct Plus, but it has remained a non-starter owing to the quality of channel portfolio. With Bharti Airtel, also planning to start its operations soon, the sector would be see intense competition.
After Bharti Airtel, Tata Teleservices, Reliance Communications and Idea Cellular, a relatively smaller player, Modi promoted Spice Telecom, operating in just 2 but lucrative circles of Punjab and Karnataka, would be the one to hit the capital market with an IPO in June. Idea Cellular may buy around 10% in prep-placement IPO.
