Reliance Industries’ (RIL), wholly owned subsidiary Reliance Industrial Investments and Holdings (RIIHL) proposes to acquire equity shares of The Indian Film Combine (IFC), for `1,105 crore, according to a statement on stock exchanges. As part of the transaction, RIIHL will be acquiring 65% of current paid-up equity share capital of IFC from the existing shareholders. This will include 20% from the Mauritian arm of Xander Group Inc based in the US for `340 crore and 45% from entities belonging to the promoter group of RIL for `765 crore. The remaining 35% of IFC continues to be held by the Maker Group, the company said. The acquisition is expected to be completed by May 31, 2018.
A company incorporated in 1942, IFC is setting up a drive-in theatre and hospitality precinct comprising of a hotel, a retail mall and a club, built on approximately 12 acres of land in Bandra Kurla Complex (BKC), Mumbai. RIL is engaged in construction and development of a convention centre, a retail mall and office space at BKC, Mumbai. The company said that together with the IFC project, RIL aims to create a retail and entertainment destination which will complement its upcoming convention centre.
“The acquisition from the promoter group entities of RIL is on arm’s length basis and at the same valuation at which equity shares of IFC are being purchased from the Xander Group,” the company said in a BSE filing.>