The Hindu Business Line : Adlabs Films to acquire 51 pc in Synergy Communication

Anil Dhirubhai Ambani Group's company, Adlabs Films Ltd, said it will acquire 51 per cent stake in Synergy Communication Pvt Ltd, a television content company headed by Mr Siddhartha Basu and best-known for its production Kaun Banega Crorepati.

Adlabs said it has signed a letter of intent for the acquisition. It did not disclose the cost of the acquisition, saying the valuation is a subject of confidentiality provisions. This move marks Adlabs' first serious foray into television, a news release from the company said.

Non-fiction content

"By March 2008 we want television content business to be one of the important divisions at Adlabs and contributing sizeable amount of revenues to the overall pie," said Mr Manmohan Shetty, Chairman and Managing Director, Adlabs Films Ltd.

Synergy Communication is strong in non-fiction television content, and has produced programmes such as Child Genius and Mastermind India. It does international format shows such as its current one Jhalak Dhikla Ja, an adaptation of Dance with Stars, a BBC format, which started Thursday on Sony.

Adlabs' investment in the company will be used for enhancing Synergy's financial strength and production operations, and scaling up of the content to include popular fiction and non-fiction content, including reality and lifestyle shows as well as a repertoire of youth content. Mr Siddhartha Basu will continue to have operational control of the company. Adlabs Films currently has 40 films in various stages of production and pre-production, said a spokesperson for the company.

Adlabs gained on the stock exchanges; its scrip rose by Rs. 4.05 on BSE on Thursday to close at Rs. 336.15.

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