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Reliance MediaWorks Restructuring Gets Board Approval

Anil Dhirubhai Ambani Group's Reliance MediaWorks (previously Adlabs Films) has announced that it has received board approval for its restructuring plans which separates the company's exhibition, film and media service divisions as 100% subsidiaries of the company. The restructuring, which was first announced by the company in November last year, was intended to enable it to pursue better growth opportunities in each of these divisions and to help expand its product and service offerings, thereby enhancing the company's revenues, profitability and business. Current Offerings: Reliance Mediaworks currently operates a worldwide cinema chain 'Big Films' which has 530 screens across India, USA, Malaysia and Nepal; a television production division 'Big Synergy' which has offices in Mumbai, Delhi and Chennai; digital post production facilities for films, television shows and commercials; Hollywood design-compliant studios in Mumbai; and 1200-member media BPO which offers content processing, image enhancement and restoration services, visual effects and 2D to 3D conversion services with operations at US, UK and Mumbai. The company had announced a total operational income of Rs 246 crore and EBIDTA of Rs 34 crore in its second quarter results ending September 30, 2010. In May, it had announced a rights issue, which allowed the company to raise an amount up to Rs 500 crore (US $ 111 million) by offering equity shares to the Company's shareholders. It also started offering 3D Conversion services to Bollywood studios and Indian advertisers last year. Last month, it had tied up with Vensat to create a Visual Effects, Animation and CG studio in Chennai, thus entering…

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