Network18 Media & Investments said on Monday it has accepted an offer from a subsidiary of Viacom 18 Media to buy the entire shareholding of the London-listed film fund, The Indian Film Company (TIFC) at a price of 115.56 pence. At this price, the deal values TIFC at ?63.6 million, which is one times the total capital deployed in TIFC, points out brokerage IDFC SSKI. However, the valuation is three times the current market capitalisation of TIFC. More importantly, as IDFC observes, Network18 has increased its stake in TIFC from 18% to 77% in last one year valuing the entity at ?22 million.
With Viacom18 proposing to launch a movie channel, IBN18 (or the New TV18) would join the league of larger networks such as Star and ZEE. The board of directors of Roptonal, Cyprus, a unit of Viacom 18 Media Private , has made an offer for the issued share capital of TIFC.
