The Great India Nautanki Company (GINC), which runs the mega entertainment project 'Kingdom of Dreams' in Gurgaon, is looking to offload 20% stake to raise up to Rs 200 crore to fund future expansion.
Besides, the company is also considering an initial public offer by 2013 to raise more funds. It is currently holding talks with high networth individuals (HNIs) and private equity investors for the stake sale.
GINC, a joint venture of Wizcraft International Entertainment and Apra Group of Companies, was set up to promote Indian culture and performing arts with a focus on Bollywood.
“We are looking at equity dilution of 20% to create funds for which we are talking to a few people and expect to raise anywhere between Rs 150 crore to Rs 200 crore,” GINC, Chairman and Managing Director Anumod Sharma told PTI.
Without disclosing the names of parties the firm is currently in talks with, Sharma said GINC is in negotiations with one HNI from Delhi and two private equity players based out of Mumbai.
“We expect to close the deals in a couple of months,” he said, adding that the firm would also raise some debt.
The proceeds from the stake sale and debt will be used to fund new projects that include a chain of 10 projects in China, Sharma said.
The China project will be in partnership with a Chinese firm — Zhejiang Dafeng with which GINC had announced partnership last year.
The company is also planning to set up another project in Mumbai with an investment of around Rs 300 crore.
Commenting on the company's IPO plans Sharma said,”We will be looking at it by 2013 and finalise the details of the same later.”
As part of establishing global presence, GINC has already initiated talks with American Casino King Stephen Wynn to enter Las Vegas.
“We will take our Bollywood musical show Zangoora to be staged in Stephen Wynn's casino in Las Vegas in the next three months,” Sharma said.
According to Sharma, Wynn has already expressed interest to set up a similar project in Las Vegas, for which talks are currently on.
“We are also taking the show to other foreign destinations such as the UK and Singapore,” Sharma said.
The company is currently running a Bollywood Musical called–Zangoora at the Gurgaon 'Kingdom of Dreams', which is is endorsed by Bollywood actor Shahrukh Khan. It is also working on a host of new musical productions like Mahabharata.
Source: Business Standard