Star denies reports of Balaji stake sale

15 Jun 2010

Balaji Telefilms scrip zoomed to 19.23 per cent on the BSE yesterday amid rumours that Star, the Rupert Murdoch company was selling its around 26 per cent stake in the television content production company to Reliance ADAG.

However, Star denied any such plan to offload its entire 25.99-per cent stake in Balaji Telefilms.

Star India CEO Uday Shankar told Indiantelevision.com that it was not looking to sell its stake in Balaji Telefilms.

Balaji Telefilms was a preferred prime time content supplier to Hindi general entertainment channel Star Plus. After it split relationship with Star, industry sources say it is mending fences with the company with the launch of a new prime time show Taryay Liyay, on Star Plus following a long gap.

It has also entered into Marathi language content with a show on Zee Marathi.

Star India had acquired the stake in 2004 through its affiliate Asian Broadcasting FZ-LLC for Rs1.23 billion.

Reports had said that the stake may be picked up by Reliance Big Entertainment, a unit of Anil Dhirubhai Ambani Group (ADAG).

However, Rajesh Sawhney, president of the ADAG company clarified that reports of Reliance Big Entertainment buying a stake in Balaji Telefilms were not true.