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EROS - Eros International News Story

$2.66 0.1  2.3%

Last Trade - 4:45pm

Sector
Consumer Cyclicals
Size
Small Cap
Market Cap £292.9m
Enterprise Value £471.9m
Revenue £119.1m
Position in Universe 3193rd / 6376

UPDATE 1-India's Eros International to merge with STX Entertainment

Fri 17th April, 2020 9:24pm
(Adds details, updates shares)
    April 17 (Reuters) - Eros International Plc  EROS.N  said on
Friday it would merge with U.S.-based privately held media
company STX Entertainment, sending shares of the Indian film
production house nearly 55% higher.      
    The combined company, Eros STX Global Corp, will remain
listed on the New York Stock Exchange, with headquarters in both
Mumbai, India and Burbank, California, the companies said https://www.businesswire.com/news/home/20200417005565/en
 in a statement.
    Eros and STX Entertainment, which has produced films
including "I Feel Pretty" and "The Edge of Seventeen", did not
disclose the financial terms of the deal.
    Eros, with a market value of about $258 million, is a film
production and distribution company which owns a vast library of
Bollywood movies and music and runs its own video streaming
service.
    Robert Simonds, head of STX, would be the chief executive
officer of the combined company, while Eros CEO Kishore Lulla
would be executive co-chairman.
    The new company is expected to generate about $50 million in
operating cost savings within two years of closing the merger,
the statement added.
    The deal is expected to close in the second calendar quarter
of 2020. Citigroup Global Markets and PJT Partners were the
financial advisers to Eros and STX Entertainment, respectively.
    The combined company is also expected to release about 40
feature length films, including seven sequels, and over 100
original shows in 2020.

 (Reporting by Ayanti Bera in Bengaluru; Editing by Anil D'Silva
and Devika Syamnath)
 ((Ayanti.Bera@thomsonreuters.com; within U.S.+1 646 223 8780,
outside U.S. +91 80 6749 3401;))
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