News Column

Everstone To Pick Up Stake In Fun Republic

June 8, 2014

Atul Kapoor and Sameer Sain led PE firm @Everstone is in talks to pick up close to 30% stake in Essar group's mall operator Fun Republic

Fun Republic began its first mall in Andheri, one of Mumbai's suburbs during the early 2000 taking advantage of the economic boom. However post that the fund raising efforts of the company have not fructified due to the economic slowdown in the recent years.

Ecity ventures, an entertainment brand of Essel Group is into retail realty development, property management & services, cinema exhibition, gaming centers, digital cinema proliferation, in-cinema advertising and other ambient media solutions.

Led by Atul Goel, ECity Ventures has various units in the entertainment industry like movie exhibition and entertainment (Fun Multiplex Private Limited.), film distribution (E-City Films Pvt. Ltd.) and digital cinema (E-City Digital Cinema Private Limited.), as well as retail property development (E-City Realty Holdings Pvt. Ltd.) retail property management (E-City Property & Management Services Pvt. Ltd.) and on screen and off screen advertising and branding (E- City Media Pvt Ltd.).

The lifestyle mall operator, which offers entertainment, shopping and fine dining at a single point, set up malls in Lucknow, Coimbatore and Chandigarh after its success in Mumbai.

This fund raise would enable the company in further boosting its expansion plans and also help the PE which counts Faces Cosmetics, Future Media, Lillyput, Nashik Vintners, Blue Foods, VlCC Healthcare, Hinduja Leyland, Indostar Capital, etc, to further expand its portfolio in the country.

The India and South East Asia focused private equity and real estate with over $2 Bn assets under management had recently partnered Burger King for India foray and had also purchased a minority stake in the fashion chain owned by Ritu Kumar.

The multiplex industry has been growing through acquisitions over the last three years. PVR bought Cinemax in 2012, Inox had acquired Fame to consolidate its presence in the western, southern and eastern regions. Also Anil Ambani's@Reliance_MediaWorks_Li Limited was planning acquisitions to expand the presence of its multiplex chain Big Cinemas with an investment of INR 1 Bn.

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: DealCurry (India)

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